Europe

Bankrupt German wind turbine manufacturer Senvion said on Wednesday is that has not been successful in finding a buyer for all of its turbine business, and that layoffs are expected to occur from September, Reuters reported. “We are now close to having a solution for significant core parts of the business,” Chief Executive Yves Rannou said in a statement, adding that the company had the means to keep afloat until the M&A process is concluded. Creditors will be allowed to vote on the investor concepts at a 10 September gathering, Senvion said.

Read more

Investors in Europe’s biggest airline aren’t sitting comfortably in their cabins. German carrier Lufthansa —the top European airline by number of passengers—has seen its stock fall more than 40% over the past six months, The Wall Street Journal reported. European airlines are collectively down 30% due to a weakening economy, labor strikes and cutthroat competition in short-haul markets. Lufthansa’s market value including debt now amounts to just 2.6 times earnings before interest, taxes, depreciation and amortization, compared with 3.2 times for all European airlines.

Read more

Zambia should show that it is taking measures to fight corruption to unlock donor aid and investments that have been withheld due to graft concerns, the British High Commissioner to the country said on Tuesday, the International New York Times reported on a Reuters story. Britain, Finland, Ireland and Sweden withheld nearly $34 million in aid to Zambia's social welfare and education sectors in September last year because of concern over financial mismanagement.

Read more

Creditors of Abu Dhabi-based Gulf Marine Services (GMS) are close to hiring an adviser to help them renegotiate debt terms, two sources familiar with the matter said, Reuters reported. London-listed GMS, which provides support vessels for offshore oil and gas and other energy installations, has been hurt by a downturn in the oil and gas services industry after a slump in oil prices in recent years reduced demand.

Read more

Poland’s government has proposed the country’s first balanced central government budget in three decades, as the ruling Law and Justice party tries to boost its reputation for economic management ahead of October’s parliamentary election, the Financial Times reported. Since coming to power in 2015, the socially conservative Law and Justice has sharply boosted welfare spending, with handouts to pensioners and families playing a key role in cementing support for the party among older and less well-off Poles.

Read more

French media mogul Arnaud Lagardère amassed more than €200m of debt at his private holding company, more than the current value of his shares in the publicly traded conglomerate that bears his name, according to unpublished accounts seen by the Financial Times.

Read more

The largest shareholder in Carpetright has agreed to take on the company’s substantial debt pile and open talks over long-term funding, providing a degree of certainty to the troubled UK flooring retailer as it pushes to turn itself round, the Financial Times reported. Carpetright said on Tuesday that Meditor, a private investment vehicle controlled by former hedge fund manager Talal Shakerchi, would purchase its £40.7m revolving credit facility from its current lenders AIB and NatWest. The company was not involved in the talks between Meditor and the lending banks.

Read more

Gayle Killilea’s lawyer is asking the judge in her husband Sean Dunne’s American bankruptcy trial to block an order from a different court compelling Killilea’s financial adviser to provide details of the couple’s finances, including the transfer and sale of Walford – once Ireland’s most expensive home, The Irish Times reported. Trustee attorney Timothy Miltenberger said his client wants to examine Dublin accountant James Ryan to identify assets to pay the $18.1 million (€16.2 million) a jury ordered Ms Killilea to pay the trustee in June.

Read more

The gloom hanging over the German economy has deepened after a closely watched survey of the country’s business leaders this month found that sentiment had sunk to its lowest level in seven years, the Financial Times reported. An intensifying trade war between the US and China is weighing particularly heavily on Germany’s export-focused economy, prompting calls for the government in Berlin to ditch its commitment to running a budget surplus to provide a fiscal stimulus.

Read more

Brussels is planning to simplify the eurozone’s complex budgetary rules to provide governments with softer debt reduction targets that do not push struggling economies into trouble during downturns, the Financial Times reported. In what is set to be one of the most politically sensitive debates for the next European Commission, officials are considering ways to rewrite the bloc’s Stability and Growth Pact, which has come under fire for being impossible to enforce and overly flexible for governments that are in breach of the rules.

Read more