Tag: rival

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World News

Deliveroo shares rise after German rival takes stake within the enterprise

Deliveroo shares push higher as retail investors start trading

A Deliveroo courier travels down Regent Street delivering takeaway food in central London during Covid-19 Tier 4 restrictions.

Pietro Recchia | SOPA pictures | LightRocket via Getty Images

LONDON – Shares in grocery supplier Deliveroo rose over 10% on Monday after the company announced that larger German rival Delivery Hero had acquired a 5.09% stake in the company.

The company’s stock rose from £ 3.36 ($ 4.66) per share to £ 3.60 per share in early trades on the London Stock Exchange on Monday, its highest level since trading began in March. Meanwhile, Delivery Hero shares on the Frankfurt Stock Exchange remained relatively unchanged.

Deliveroo’s market value is around £ 8 billion, so Delivery Hero’s investment is worth around £ 400 million. Deliveroo declined to comment on the exact amount of the investment, while Delivery Hero did not immediately respond to a CNBC request for comment.

In a notice to investors, Deliveroo announced that Delivery Hero would sell it after the market closed on March 6.

Founded in 2013 by Will Shu and Greg Orlowski, Deliveroo received a boost from Amazon in 2019 when the e-commerce giant launched a $ 575 million funding round into the company.

With a turnover of 4.1 billion

Deliveroo went public in March and while trading got off to a bumpy start, the company’s share price has since rebounded somewhat.

Delivery Hero’s investment comes in the midst of a period of consolidation in the food delivery market.

Deliveroo, headquartered in London, and Delivery Hero, headquartered in Berlin, are two of the largest food delivery companies in Europe and have been battling for market share in countries across the continent and beyond for almost a decade.

Delivery Hero, which is significantly larger than Deliveroo with a market capitalization of around 30 billion euros ($ 35 billion), also has minority stakes in food suppliers like Glovo, Just Eat Takeaway, Rappi, and Zomato.

Delivery Hero co-founder and CEO Niklas Östberg said on Twitter that Deliveroo felt “undervalued” and added that he had “great respect” for Shu and his team. Delivery Hero has been buying shares since April, paying an average of £ 2.70 per share, Östberg said.

It competes with Deliveroo in the Middle East through its Talabat business and in Hong Kong and Singapore through its Foodpanda divisions.

However, Deliveroo and Delivery Hero do not compete in the UK, which is Deliveroo’s main market. That’s because Delivery Hero sold its UK business Hungryhouse to Just Eat in 2016 for around £ 200 million.

Like UberEats and DoorDash, Deliveroo and Delivery Hero rely on an army of self-employed couriers to deliver groceries from restaurant kitchens to homes and offices in cities around the world in around 30 minutes while cutting down on each order.

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World News

Rachmawati Sukarnoputri, 70, Sibling Rival in Indonesia Politics, Dies

Rachmawati Sukarnoputri, 70, Sibling Rival in Indonesia Politics, Dies

Mrs. Rachmawati entered politics after the fall of Suharto, helping to found the Pioneers’ Party in 2002. But it won only a tiny number of seats in Parliament. She joined the Nasdem Party in 2012 but quickly left it to join the Great Indonesia Movement Party, or Gerindra, the party of Suharto’s son-in-law Prabowo Subianto. At her death she was on its board of trustees.

Updated 

July 8, 2021, 6:10 p.m. ET

“Rachmawati always sided with anyone who opposed her eldest sister, including Prabowo,” said Andreas Harsono, a Human Rights Watch researcher who wrote a book about the early days of Indonesia, “Race, Islam and Power” (2019), and who knows the Sukarno siblings.

“It is a dysfunctional family,” he said.

Mrs. Rachmawati was accused of being involved in a plot in 2016 to rally hard-line Islamists to kidnap the Christian governor of Jakarta. She was one of 11 people arrested on treason charges related to the plot but was released a day later, denying that she had been involved and saying, “How could I be doing treason against the country that my father helped found?”

The Jakarta governor, Basuki Tjahaja Purnama, was a close ally of President Joko Widodo, whose Indonesian Democratic Party of Struggle was headed by Mrs. Megawati.

Diah Permana Rachmawati Sukarno was born in Jakarta on Sept. 27, 1950, to Sukarno and his third wife, Fatmawati, who was considered his official consort for ceremonial occasions. Rachmawati was the third of five children of that marriage and had several half-siblings from Sukarno’s eight other marriages.

Like Mrs. Megawati, she took on the patronymic Sukarnoputri, meaning daughter of Sukarno, to emphasize the connection to their father.

When she was 3, her mother left the palace in protest of Sukarno’s plans to take a new wife, and Rachmawati was raised mainly by a foster mother.

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World News

Xpeng Motors launches P5 Lidar electrical automotive to rival Tesla in China

Xpeng Motors launches P5 Lidar electric car to rival Tesla in China

GUANGZHOU, China – Chinese electric vehicle maker Xpeng Motors on Wednesday unveiled the P5, a sedan with new self-driving features that is set to lead the way in the highly competitive Chinese auto market.

The P5, Xpeng’s third production model and second sedan after the P7, adds another competitor to Tesla’s Model 3 in China’s increasingly crowded field of electric car manufacturers.

The Chinese company, a rival of local players Nio and Li Auto, announced that it will release its prices at the Shanghai Auto Show on April 19th.

In an interview with CNBC on Wednesday, Xinzhou Wu, vice president of autonomous driving at Xpeng, said the price of the P5 will be lower than the P7.

“In this price range with the functions that we have built into the car, it will be very convincing for our customers,” he said.

Xpeng Motors will unveil the P5 sedan on April 14, 2021 at an event in Guangzhou, China. The P5 is the third series model from Xpeng and has what is known as Lidar technology.

Arjun Kharpal | CNBC

The P7 starts at 229,900 yuan ($ 35,192) after subsidies. By comparison, Tesla’s Model 3 starts at 249,900 yuan in China.

Wu said the P5 will be rolled out to customers in China in the third or fourth quarter of this year. Xpeng has also expanded into Norway, its first international market. Wu said the company would expand its presence in Northern Europe and eventually the P5 would be rolled out there. He didn’t give any schedules when this might happen.

Driverless technology

Xpeng has tried to drive the advancement of its self-driving features to differentiate itself from its competitors.

The P5 is equipped with what is known as lidar or light detection and ranging technology. Lidar systems send out lasers that can bounce back and measure distances. These returning rays are processed by an algorithm to create a three-dimensional representation of the surrounding objects – a key technology for autonomous vehicles to understand their surroundings.

Xpeng claims that lidar can help the P5 differentiate between pedestrians, cyclists and scooters, as well as road works – even at night and in low light.

On Wednesday, the Chinese automaker also released a new version of XPILOT, its so-called advanced driver assistance System (ADAS). This refers to a system with some autonomous functions, but for which a driver is still required.

XPILOT 3.5 has an updated version of a feature called Navigation Guided Pilot or NGP that allows users to autonomously perform tasks such as changing lanes or overtaking cars. Some of these functions are working for the first time on city streets. Previously, NGP was designed for highways only.

Xpeng’s XPILOT is an attempt to compete with Tesla’s own ADAS system called Autopilot, as well as other competitors like Nio with its Nio Pilot.

“In P7 we introduced NGP … only on freeways. However, freeway driving is only about 10% of people’s driving time. Getting the technology and ability to cities to do the function is very important Chinese people to make more user-friendly and more convincing customers, “said Wu.

In the city, Wu said the situation is getting “exponentially” and cited challenges to ensure the car can accurately and reliably detect objects in its path. “We believe with Lidar … it will help us achieve our goal much faster and give us an edge over our competitors.”

The competition is heating up

China’s electric car market is expected to pick up this year. According to research firm Canalys, 1.9 million units are expected to be sold, an increase of 51% over the previous year.

Various government incentives such as subsidies have made China the largest electric car market in the world. With that, some startups like Xpeng, Nio and Li Auto have grown quickly.

However, these players are competing against traditional automakers who are honing their electric vehicle capabilities, as well as other tech companies entering the fray.

We’re definitely one step ahead, you know, compared to most of our competitors. So we’re pretty confident that we can win this race with more newbies in this area.

Xinzhou Wu

Vice President for Autonomous Driving, Xpeng

Chinese search giant Baidu has teamed up with Geely to create a standalone electric car company, while smartphone giant Xiaomi announced plans to start an electric car business.

Last year, Xpeng delivered 27,041 vehicles, more than double that in 2019. In comparison, the Tesla Model 3 alone sold more than 137,000 units in China in 2020.

Wu said Xpeng developed a lot of technology that he believes will give the company an edge.

“We’re definitely one step ahead, a few steps ahead, you know compared to most of our competitors. So we’re pretty confident that we can win this race with more newbies in the field,” Wu told CNBC.

“We believe that with this kind of focus on the Chinese market, the Chinese customers, the Chinese road conditions and also the various technologies that we are bringing together to better adapt the technology to the Chinese market, we have an advantage over Tesla the Chinese market. “

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Business

GE plane leasing unit to mix with rival lessor AerCap

GE aircraft leasing unit to combine with rival lessor AerCap

On March 29, 2017, technicians build LEAP engines for jetliners at a General Electric (GE) facility in Lafayette, Indiana.

Alwyn Scott | Reuters

General Electric announced on Wednesday that it had struck a $ 30 billion deal to sell its jet leasing business with rival AerCap. This would create a massive lessor as the aviation industry battles its way through the Covid-19 pandemic and GE’s efforts to reduce its debt burden.

The deal would give GE a 46% stake in the combined company and generate around $ 24 billion in cash for the conglomerate and downsize it further. GE Capital Aviation Services or Gecas is part of GE Capital that has been scaled back since the financial crisis. GE said it would reduce its debt by approximately $ 30 billion upon completion of the transaction, using the proceeds from the deal and existing cash.

The GE share gained 3.5% in premarket trading, while the AerCap share barely changed.

Gecas owned, serviced, or ordered over 1,600 aircraft and had assets of $ 35.86 billion at the end of 2020. AerCap owned, managed, or ordered approximately 1,330 aircraft with assets of $ 42 billion as of the end of last year. according to regulatory filings.

Ireland-based AerCap, whose shares are listed on the NYSE, had a market capitalization of nearly $ 7.27 billion as of Tuesday’s close of trading. Stocks are up more than 10% this week since the Wall Street Journal reported Sunday that the two companies were close to a deal.

According to GE’s annual report, the Gecas unit posted a loss of $ 786 million last year, compared with a profit of $ 1.03 billion the previous year. AerCap posted a net loss of nearly $ 299 million last year, after gaining more than $ 1.1 billion in 2019, and posted a fourth quarter profit of $ 28.5 million.

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Business

Okta CEO defends $6.5 billion deal for rival Auth0 after shares fall

Okta CEO defends $6.5 billion deal for rival Auth0 after shares fall

Todd McKinnon, Okta CEO, on Friday defended his company’s move to acquire Auth0, citing the competitor as a complementary asset to its identity and access management business.

Okta stock is down 10% since it announced the $ 6.5 billion all-stock deal after it closed on Wednesday. The sales figure is more than a fifth of Okta’s market capitalization and a $ 1.92 billion valuation premium that Auth0 received after a round of funding last summer.

“This is a company that is about to go public and, as you know, public markets value public companies in some ways,” McKinnon told CNBC’s Jim Cramer.

He appeared on “Mad Money” alongside Eugenio Pace, the managing director of Auth0.

“If you look at how we rate it, the growth is positive for us,” added McKinnon. “We have actually paid many times more income that is slightly below ours but is in the same stadium.”

Auth0 is an identity management platform for app developers based in Bellevue, Washington. It competes with Okta, a $ 28 billion cybersecurity company based in San Francisco. Okta offers security tools to authenticate users, e. B. Password permissions and access to online networks.

Auth0 will act as an independent branch within Okta when the transaction closes in late July.

When asked about the need to acquire a different identity provider if Okta already has its own offerings, McKinnon said the merger would provide his company with a better way to tackle customer identity and access management.

He stated that the $ 30 billion personal identity market accounts for 75% of Okta’s sales, while the $ 25 billion customer identity market accounts for 25% of sales. Okta is more focused on out-of-the-box, pre-built solutions, while Auth0 is more focused on purpose-built app developers, he added.

Auth0 is “a product that is much more flexible, extensible, and does exactly what the developer has to do, and that’s why the two solutions together are so compelling,” said McKinnon. “They give customers great choice, flexibility, and value for money, and they really solidify that $ 25 billion [total addressable market]. “

Okta’s shares fell 4.54% to $ 215.96 on Friday. The company reported fourth quarter revenue of $ 234.7 million on Wednesday, up 40% year over year. A net loss of $ 75.8 million was reported, compared to a loss of $ 50.5 million in the year-ago quarter.