Aug 8 (Reuters) - Nvidia Corp (NVDA.O) on Monday warned its second-quarter revenue would drop by 19% from the prior quarter on weakness in its gaming business, sending the chip designer's shares down about 8%.

The company reported preliminary results for the second-quarter, just days after chipmaker Intel Corp , Qualcomm (QCOM.O) and Sony Group (6758.T) forecast weak sales on demand concerns for personal computers and phones.

The gaming industry, largely considered to be recession proof, is beginning weaken as consumers weigh purchases of discretionary items such as video-game consoles.

NEW YORK, Aug 8 (Reuters Breakingviews) - Carlyle’s former Chief Executive Kewsong “Kew” Lee had big plans for the $14 billion asset manager. But what’s left of executing his blueprint will fall into someone else’s hands. The firm said Sunday that Lee had stepped down, effective immediately, before the end of his five-year contract. The setback in its leadership transition turns the screws on Carlyle’s next generation – and its founders, too.

The private equity firm opened its doors in 1987, a year before KKR’s (KKR.N) infamous deal to buy RJR Nabisco. Along with other leveraged buyout shops like Blackstone and Apollo Global Management (APO.N), Carlyle blazed the path for private equity. Founders of other firms, including KKR’s Henry Kravis and Apollo’s Leon Black, all led them until recently. Steve Schwarzman still sits atop the $123 billion Blackstone, the largest of its competitors by market capitalization.

Lee was the start of a transition away from the people...

TOKYO, Aug 8 (Reuters) - SoftBank Group Corp (9984.T) is planning to cut headcount at its flagship Vision Fund investing arm, CEO Masayoshi Son said on Monday, after a crash in the value of its portfolio pushed his conglomerate to a record quarterly net loss.

Vision Fund, which upended the world of venture capital with splashy bets on startups such as ridehailers Uber and Didi, posted a $23.1 billion loss in the April-June quarter as value evaporated from its investments in the market rout.

"The world is in great confusion," Son said at an earnings news conference.

SAO PAULO, Aug 8 (Reuters) - Itau Unibanco (ITUB4.SA)on Monday substantially raised its loan growth forecast for this year even as it boosted provisioning for bad credits, reflecting higher Brazilian interest rates.

Brazil's largest lender said its loan book is likely to grow between 15.5% and 17.5% this year, above a previous estimate of 9%-12%.

Its 2022 cost of credit, which is mainly composed of cash set aside for loans likely to default, is now seen in the range of 28-31 billion reais, up from the previous forecast of between 25 and 29 billion reais.

The bank said its second-quarter recurring net profit rose 17.4% from the previous year to 7.67 billion reais ($1.50 billion), beating analyst expectations of7.48 billion reais, compiled by Refinitiv.

($1 = 5.1110 reais)

WASHINGTON, Aug 8 (Reuters) - The U.S. Securities and Exchange Commission (SEC) on Monday proposed new rules aimed at preventing conflicts of interest in management and governance of clearing houses.

Clearing houses provide essential plumbing for financial markets, ensuring that securities or derivatives trades are completed, even if one side of a transaction goes bust.

Under the SEC's proposal, registered clearing houses would be required to disclose more details on board composition, independent directors, and nominating and risk management committees, among other details, the agency said.

NEW YORK, Aug 8 (Reuters) - The climate, healthcare and tax bill passed by the U.S. Senate over the weekend could shave corporate earnings slightly and make companies pull forward their share repurchase plans, while giving a boost to some sectors like electric vehicle makers, biofuel and solar energy. read more

The $430 billion Inflation Reduction Act bill would impose a new excise tax on stock buybacks and a minimum 15% tax on corporations. The bill now heads to the Democratic-controlled House of Representatives, which is expected to pass it on Friday. It will then be signed into law by President Joe Biden. The tax changes would be effective from next year. read more

The two taxes are estimated to lower 2023 earnings per share of S&P 500 (.SPX) companies by roughly 1.5%, according to a research note by Goldman Sachs, which said that larger declines would be expected in low effective tax rate sectors such as healthcare and IT.

NEW YORK, Aug 8 (Reuters) - A U.S. judge on Monday appeared skeptical that Ben & Jerry's deserved an immediate injunction against its parent Unilever Plc to restrict the marketing of its ice cream in the Israeli-occupied West Bank, which Ben & Jerry's said was against its values.

U.S. District Judge Andrew Carter said at a court hearing in Manhattan that he was unsure Ben & Jerry's had shown it faced "imminent harm" following Unilever's June 29 sale of the ice cream maker's Israeli business to local licensee Avi Zinger.

The unusual dispute shows the challenges Unilever faces as it encourages its brands, which number more than 400, to have social missions that the company says help drive sales.

Aug 8 (Reuters) - Insurer American International Group Inc on Monday reported a 26% fall in quarterly profit on lower investment income and blamed market volatility for a delay in the initial public offering of its life and retirement unit.

The move underscores how the wild market gyrations sparked by runaway inflation, rising interest rates and the Russia-Ukraine war are forcing companies to rethink their IPO plans.

AIG's unit - set to be renamed Corebridge Financial Inc when it goes public - had filed for its offering in March and planned to complete its listing by the end of June.

Aug 8 (Reuters) - Nvidia Corp (NVDA.O) on Monday warned its second-quarter revenue would drop by 19% from the prior quarter on weakness in its gaming business, sending the chip designer's shares down about 8%.

The company reported preliminary results for the second-quarter, just days after chipmaker Intel Corp , Qualcomm (QCOM.O) and Sony Group (6758.T) forecast weak sales on demand concerns for personal computers and phones.

The gaming industry, largely considered to be recession proof, is beginning weaken as consumers weigh purchases of discretionary items such as video-game consoles.

NEW YORK, Aug 8 (Reuters Breakingviews) - Carlyle’s former Chief Executive Kewsong “Kew” Lee had big plans for the $14 billion asset manager. But what’s left of executing his blueprint will fall into someone else’s hands. The firm said Sunday that Lee had stepped down, effective immediately, before the end of his five-year contract. The setback in its leadership transition turns the screws on Carlyle’s next generation – and its founders, too.

The private equity firm opened its doors in 1987, a year before KKR’s (KKR.N) infamous deal to buy RJR Nabisco. Along with other leveraged buyout shops like Blackstone and Apollo Global Management (APO.N), Carlyle blazed the path for private equity. Founders of other firms, including KKR’s Henry Kravis and Apollo’s Leon Black, all led them until recently. Steve Schwarzman still sits atop the $123 billion Blackstone, the largest of its competitors by market capitalization.

Lee was the start of a transition away from the people...

Posted

A group of rebel shareholders has replaced the chairman of a London fund managed by Nelson Peltz. It’s a rare setback for the veteran corporate cage-rattler. But the victory leaves the fund with a divided investor base and uncertain future, says Neil Unmack.

Aug 8 (Reuters) - After years of failed attempts to pass major legislation to combat climate change, the U.S. Senate's Inflation Reduction Act is poised to become largest U.S. climate legislation in history.

The bill would divert nearly $370 billion to climate and energy security measures, aimed at slashing greenhouse gas emissions around 40% by 2030 and curbing consumer energy costs at the same time. read more

Much of the spending would go to new or expanded tax credits to promote clean energy generation, electrification, energy efficiency and wider adoption of electric vehicles.

Aug 8 (Reuters) - Pfizer Inc on Monday agreed to pay $5.4 billion in cash for sickle cell disease drugmaker Global Blood Therapeutics (GBT.O), as it looks to capitalize on a surge in revenue from its COVID-19 vaccine and treatment.

Pfizer will pay $68.50 per GBT share, which represents a 7.3% premium to its Friday closing price. The deal is at a more than 40% premium where GBT was trading before the Wall Street Journal reported that Pfizer was in advanced talks to buy it on Thursday.

Pfizer's 2021 revenue of $81.3 billion was nearly double the mark from the previous year, due to COVID-19 vaccine sales. With the addition of its COVID-19 antiviral pill Paxlovid, Pfizer is expected to generate around $100 billion in revenue this year, but sales from both products are expected to decline going forward.

BERLIN, Aug 8 (Reuters) - BioNTech (22UAy.DE) expects to begin deliveries of two Omicron-adapted vaccines as soon as October, which will help spur demand in the fourth quarter, the German biotech firm said on Monday as it reaffirmed its vaccine-revenue forecast for the year.

Demand for the vaccine, 3.6 billion doses of which have been shipped globally, is waning as most people in the Western world have received three or four shots already.

However, booster campaigns using upgraded shots specifically targeting the Omicron variant are expected to increase demand in autumn. Pending regulatory approval, BioNTech said, both of its adapted vaccines would be available in time for the campaigns.

MEXICO CITY, Aug 8 (Reuters) - Mexican "unicorn" Clara, a startup with a valuation over $1 billion that offers corporate credit cards and expense management resources, said on Monday it has secured $150 million in debt financing from Goldman Sachs.

The funds will be used to flesh out Clara's technological infrastructure and on increasingly larger credit lines for clients, Clara's chief executive officer, Gerry Giacoman, told Reuters.

"Every day bigger and bigger companies are working with us, including some of the largest corporations operating in Latin America," Giacoman said, noting Spanish bank Sabadell (SABE.MC), Mexican hotel chain RLH Properties (RLHA.MX) and airline Volaris (VOLARA.MX) were clients.

NEW YORK, Aug 8 (Reuters Breakingviews) - With transportation deals, as in life, it’s not the destination but the journey. Canadian Pacific Railway’s (CP.TO) plan to close its $27 billion merger with Kansas City Southern has gotten fresh pushback after more than a year in limbo. And shareholders in JetBlue Airways’(JBLU.O) tie-up with Spirit Airlines (SAVE.N) may be stuck in a similar layover. Painful concessions may be involved. But with deals in quasi-monopolistic industries, the key is seeing deals through.

The first union of large North American railroads in two decades was bound for a battle after CP made an offer for KCS some 17 months ago. Rival Canadian National Railway (CNR.TO) launched a challenging bid soon after, and that’s not an unusual strategy in industries that have few natural competitors. As consolidation presents clear pricing advantages for those who do the rolling up, it’s better for the losers to try to thwart a deal – or encourage a competitor to...

LONDON, Aug 8 (Reuters) - A global standard setter for company climate disclosures should align with European and U.S. alternatives for easier implementation across jurisdictions and to avoid fragmenting information to investors, the European Central Bank and IMF have said.

The Frankfurt-based International Sustainability Standards Board (ISSB) has proposed global "baseline" reporting standards, which attracted over 1,300 responses just published. read more

The aim is for more rigorous reporting to make 'greenwashing' or inflated climate-friendly claims, harder.

TOKYO, Aug 8 (Reuters) - SoftBank Group Corp (9984.T) is planning to cut headcount at its flagship Vision Fund investing arm, CEO Masayoshi Son said on Monday, after a crash in the value of its portfolio pushed his conglomerate to a record quarterly net loss.

Vision Fund, which upended the world of venture capital with splashy bets on startups such as ridehailers Uber and Didi, posted a $23.1 billion loss in the April-June quarter as value evaporated from its investments in the market rout.

"The world is in great confusion," Son said at an earnings news conference.

WASHINGTON, Aug 8 (Reuters) - The U.S. Securities and Exchange Commission (SEC) on Monday proposed rules aimed at mitigating conflicts of interest around registered clearing agencies' governance arrangements.

Under the Wall Street watchdog's proposal, registered clearing houses would disclose more details on board composition, independent directors, and nominating and risk management committees, among other details, the agency said.

"I think these rules would help to build more transparent and reliable clearinghouses, SEC Chair Gary Gensler said in a statement on the proposal, which would replace two related measures proposed following the 2009-2010 global financial crises, but which were never adopted.

"This in turn would help ensure our markets are more resilient, protecting investors and building trust in our markets," Gensler said.

Aug 8 (Reuters) - The climate, healthcare and tax bill passed by the U.S. Senate over the weekend could shave corporate earnings slightly and trigger a rush of share repurchases, while giving a boost to some sectors like electric vehicle makers, biofuel and solar energy. read more

The $430 billion Inflation Reduction Act bill would impose a new excise tax on stock buybacks and a minimum 15% tax on corporations. The bill now heads to the Democratic-controlled House of Representatives, which is expected to pass it on Friday. It will then be signed into law by President Joe Biden. The tax changes would be effective from next year. read more

The two taxes are estimated to lower 2023 earnings per share of S&P 500 (.SPX) companies by roughly 1.5%, according to a research note by Goldman Sachs, which said that larger declines would be expected in low effective tax rate sectors such as healthcare and IT.

NEW YORK, Aug 8 (Reuters Breakingviews) - With transportation deals, as in life, it’s not the destination but the journey. Canadian Pacific Railway’s (CP.TO) plan to close its $27 billion merger with Kansas City Southern has gotten fresh pushback after more than a year in limbo. And shareholders in JetBlue Airways’(JBLU.O) tie-up with Spirit Airlines (SAVE.N) may be stuck in a similar layover. Painful concessions may be involved. But with deals in quasi-monopolistic industries, the key is seeing deals through.

The first union of large North American railroads in two decades was bound for a battle after CP made an offer for KCS some 17 months ago. Rival Canadian National Railway (CNR.TO) launched a challenging bid soon after, and that’s not an unusual strategy in industries that have few natural competitors. As consolidation presents clear pricing advantages for those who do the rolling up, it’s better for the losers to try to thwart a deal – or encourage a competitor to...

Posted

A group of rebel shareholders has replaced the chairman of a London fund managed by Nelson Peltz. It’s a rare setback for the veteran corporate cage-rattler. But the victory leaves the fund with a divided investor base and uncertain future, says Neil Unmack.

Aug 8 (Reuters) - Pfizer Inc is boosting its pipeline with a $5.4 billion deal for blood disorder drugmaker Global Blood Therapeutics (GBT.O), the latest in a series of acquisitions to combat a potential slowdown in COVID-19 products demand as cases fall.

Pfizer said on Monday it will pay $68.50 per share, representing a premium of 7.3% to Global Blood stock's Friday closing and a 42.7% premium to Thursday's closing, before the Wall Street Journal reported that Pfizer was in advanced talks to acquire the company.

Pfizer has enjoyed an unprecedented rise in sales since the global rollout of its COVID-19 vaccine, developed with BioNTech. Sales have, however, started to slow since last year.

Aug 8 (Reuters) - After years of failed attempts to pass major legislation to combat climate change, the U.S. Senate's Inflation Reduction Act is poised to become largest U.S. climate legislation in history.

The bill would divert nearly $370 billion to climate and energy security measures, aimed at slashing greenhouse gas emissions around 40% by 2030 and curbing consumer energy costs at the same time. read more

Much of the spending would go to new or expanded tax credits to promote clean energy generation, electrification, energy efficiency and wider adoption of electric vehicles.