How do you say “Orange is the New Black” in Chinese?
Looks like Netflix might soon be needing “House of Cards” translated as its been rumored that the video-streaming company has been in talks with a few Chinese companies about bringing their premium entertainment to that part of the world. It’s estimated that the online video market in China is close to $6 billion so, it’s probably a good idea if Netflix gets started on that venture sooner rather than later. It should be duly noted that Netflix hasn’t been chatting with just any Chinese companies either. Heard of Wasu Media Holding Co.? If that name doesn’t ring a bell, then what about the name Jack Ma? The mastermind billionaire behind Alibaba, China’s biggest e-commerce site, also backs Wasu. But rumor has it Netflix was also talking with another giant Chinese media company, BesTV New Media Co. A few months ago, Netflix’s Ted Sarandos initially said that there were no plans for the company to enter into any “joint” ventures, whether Chinese or not. But the thing is, if any company, even Netflix, wants to do business in China, then teaming up with a big important Chinese company is a must. Especially if that company wants to have a pleasant and sustainable relationship with the Chinese government. While no contracts or agreements have been signed with regard to Kevin Spacey’s character, Frank Underwood, going east, Netflix’s stock still went up on just the talk.
Ann Inc. was looking particularly stylish as it was just scooped up by Ascena Retail group for a very fashion-forward $2.15 billion. Ascena, which also owns Lane Bryant and tween chain Justice, among others, picked up its latest apparel chain for a very cool $47 per share, which happened to be more than a 21% premium over its closing price on Friday. Wall Street liked the new joint venture and sent Ann Taylor’s stock up over 20%. Ascena’s stock also went up a bit, but then came back down to little, if no, fanfare. Several companies have gone the merging route lately. They do this when their sales have been less than impressive for an extended period of time. Ann Taylor and Ascena were no exceptions to this trend but its now expected that this new adventure between the two retail giants will rake in a combined revenue of $7.4 billion.
Very Truly Yours….
Activist investor Carl Icahn poured his fiscally minded heart out in an open letter to Apple CEO Tim Cook. In the letter he did nothing short of gush about how Apple’s stock is “dramatically undervalued” and that he sees its price target at $240 per share. That figure is a whopping 55% more than its closing price in Friday. The stock is currently hovering at around $130 per share, mind you. And while Mr. Icahn is profoundly moved by Apple’s decision to repurchase stocks, alas, he wants the tech company to repurchase even more. Some of his love and devotion stems from the fact that Apple, besides being the largest company in the world by market cap, is delving into the fiscally vibrant worlds of television (2016) and automobiles (2020).