(Reuters) – American Airlines Group Inc (O:) plans to run Boeing Co (N:) 737 Max passenger flights at the year end for the first time since the aircraft’s grounding in March 2019, Bloomberg News reported on Sunday.
737 Max will serve the Miami-New York corridor once a day starting Dec. 29 through Jan. 4, the report said https://www.bloomberg.com/news/articles/2020-10-18/american-air-sets-new-daily-miami-n-y-flight-for-737-max-debut?sref=WJKVI5nK.
The airline will “take a phased approach” to returning the Max to service once it is approved to fly, including whether to extend the Miami-New York flight beyond Jan. 4, according to the report.
American Airlines did not immediately respond to a Reuters request for comment.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Investors line up for Ant Group’s record $34.4 billion IPO By Reuters
© Reuters. FILE PHOTO: Ant Group logo is pictured at the Shanghai office of Alipay, owned by Ant Group which is an affiliate of Chinese e-commerce giant Alibaba, in Shanghai
By Julie Zhu and Scott Murdoch
HONG KONG (Reuters) – Ant Group Co Ltd (HK:) is poised to raise up to $34.4 billion in the world’s largest stock market debut as investors rush to buy into the fast-growing Chinese fintech giant despite risks of greater scrutiny at home and abroad.
The dual listing, a first for Shanghai’s Nasdaq-style STAR Market and Hong Kong, would value Ant at about $312 billion before a so-called greenshoe option for a 15% overallotment of shares.
At that valuation, Ant is worth more than Industrial and Commercial Bank of China (SS:), the world’s biggest bank by assets. The money raised will also shatter the record set by oil major Saudi Arabian Oil Co ( Saudi Aramco ) (SE:) with its $29.4 billion listing last December.
Jack Ma, the billionaire founder of Ant and affiliate Alibaba Group Holding (HK:) (N:), said it was a “miracle” that such a large listing is taking place outside New York.
Ant’s looming market debut had been clouded by concerns over growing regulatory scrutiny at home for its lucrative consumer credit business as well as a U.S. State Department proposal to add the company to a trade blacklist.
Global investors, however, have largely shrugged off those concerns as they bet on continued rapid growth of a group that also operates China’s biggest mobile payments platform and distributes wealth management and insurance products.
“The fear of missing out and the lack of other opportunities of this calibre” was spurring investor interest in the IPO, said Justin Tang, head of Asian research at investment adviser United First Partners in Singapore.
Ant’s order books on the Hong Kong offering to institutional investors was oversubscribed one hour after the launch, two people with direct knowledge of the matter said.
Many prospective investors placed orders worth at least $1 billion in the first hour, said one of the sources, adding that the number of the institutional orders could reach about 1,000.
Ant declined to comment on investor demand.
Headquartered in the Chinese city of Hangzhou, Ant is aiming to raise about $17.2 billion in Shanghai and roughly the same in Hong Kong.
The group has earmarked 80% of its domestic offering to 29 strategic investors that will be locked up for at least one year. A wholly-owned unit of Alibaba has agreed to purchase 44% of the Shanghai float.
Other strategic investors in the Shanghai float include China’s National Council for Social Security Fund, a unit of Singapore state investor Temasek Holding, as well as Singaporean and Abu Dhabi sovereign wealth funds GIC and Abu Dhabi Investment Authority.
Large Chinese insurers and mutual funds will also have shares allocated via the strategic investor route, Monday’s filing showed.
Ant shares are expected to start trading in Hong Kong and Shanghai on Nov. 5, two days after the U.S. election.
The company set the price tag for the Shanghai leg of the listing at 68.8 yuan ($10.27) per share and HK$80 ($10.32) per share for the Hong Kong tranche, the exchange filings showed.
The price represents a multiple of 31.4 times Ant’s 2021 earnings and 24.2 times its 2022 earnings forecast, said a source with direct knowledge of the matter.
By comparison, Alibaba is trading at 34.28 times trailing 12-month earnings in Hong Kong.
Ant declined to comment on the price multiples.
The group’s China listing would eclipse the record set there previously by Agricultural Bank of China (OTC:)’s (SS:) $10.1 billion float in 2010. The record in Hong Kong was set by insurance major AIA’s $20.5 billion offering in 2010.
The bookbuilding for the Hong Kong leg will run from Monday to Friday, while books for the Shanghai leg open for one day on Thursday.
Ant’s IPO would also serve to burnish STAR’s status.
Companies raised $22.5 billion via IPOs and secondary listings on STAR between the start of the year and mid-October, making it the third-biggest stock market behind Nasdaq and Hong Kong, Refinitiv data shows.
Dow Slumps as Record Surge in Infection Triggers Bloodbath By Investing.com
By Yasin Ebrahim
Investing.com –The Dow fell sharply Monday, paced by a rout in value stocks on fears the recent spike in Covid-19 infections could weigh on the economic recovery amid fading hopes for U.S. stimulus before the election.
The fell 3.32%, or 942 points. The was down 2.86 %, while the fell 2.77%.
Coronavirus infections in the U.S. hit a record, adding more than 85,000 through Saturday, Bloomberg reported, after surpassing the previous record on Friday of 83,757 new cases.
Little sign of progress on stimulus talks, meanwhile, dimmed expectations the economy would receive a fiscal boost before the U.S. election on Nov. 3.
House Speaker Nancy Pelosi is reportedly waiting for another counteroffer from Treasury Secretary Steven Mnuchin, but as there remains sizable disagreement over key issues “reaching a deal ahead of the November election appears improbable, if not entirely impossible,” Stifel said in a note. Pelosi is reportedly set for further talks with Mnuchin at 2:00 PM ET (1800 GMT).
Energy and industrials led the move lower in value stocks, with the latter down on heavy selling in airline stocks as the spike in cases raised concerns that restrictions to curb infections could prompt airlines to cut capacity further.
American Airlines (NASDAQ:) and Delta Air Lines (NYSE:) were down more than 7% while United Airlines Holdings Inc (NASDAQ:) slumped 8%.
Financials gave up some of their g