Headlines

The Genevan jeweler De Grisogono SA, known for extravagant diamond jewelry worn by the likes of Paris Hilton, filed for bankruptcy, ensnared in a corruption probe involving Isabel dos Santos, the daughter of Angola’s former president, Bloomberg News reported. De Grisogono couldn’t secure a buyer despite talks that lasted several months, the company said in a statement on Wednesday. The failed negotiations forced the company to file for creditor protection with Swiss authorities, which if accepted, will affect 65 jobs in the nation, the company said.

After months of forcing lenders to extend more credit, Nigeria’s central bank last week stunned markets with a measure that could result in the opposite response, Bloomberg News reported. Governor Godwin Emefiele increased the percentage of deposits that lenders need to park with the regulator -- and which doesn’t earn interest -- by 500 basis points to the highest level in more than four years. By upping the cash reserve requirement to 27.5%, the central bank is draining lenders of the funds they would typically use to create loans.

A former BHS director pursued over the collapse of the department store group has agreed to a five-year ban on holding similar roles at other organisations, the Financial Times reported. The action against Lennart Henningson completes an investigation by the Insolvency Service into individuals involved in BHS’s failure, the service said in an update on its website. The “statement of unfit conduct” said Mr Henningson did not dispute that while serving as a BHS director he transferred £1.5m from the floundering company to a Swedish subsidiary he controlled.

As investors count down to Lebanon’s next bond maturity on March 9, a fresh meltdown in the debt market reflects their concern over the government’s solvency, Bloomberg News reported. Many of the crisis-ridden nation’s Eurobonds have slumped to record lows as relief over the formation of a new government last week proved to be short-lived…Lebanon is grappling with its worst economic and political crisis in decades, following months of protests.

The Chamber of Deputies voted overwhelmingly Wednesday to approve a bill to restructure the Argentine government's $100 billion debt, which officials say is unpayable amid a deep recession that has reawakened old fears of financial crises, the International New York Times reported on an Associated Press story. With the support of the main opposition parties, the government of President Alberto Fernández saw the measure pass 224-2 while leftist groups opposing the legislation protested outside congress. The bill now goes to the Senate for debate next week.

Bank of China agreed to pay €3.9 million to settle a French probe into allegations it turned a blind eye as customers moved millions to their Asian accounts without paying European taxes, The Irish Times reported. The lender will pay a €3 million fine and €900,000 in damages to French tax authorities to put the criminal allegations behind it, Paris prosecutor Remi Heitz said. The case will continue against 28 business owners and intermediaries involved in transferring the funds to China, Mr Heitz said Tuesday in a statement.

Colombian flag carrier Avianca Holdings is making progress with a restructuring plan for its finances that will keep it in the air without having to take measures such as declaring bankruptcy or insolvency, company executives said on Wednesday. Over the course of the restructuring, which began last year, the company will divest its non‐core activities and simplify its fleet to improve profits and leave behind a financial crisis that arose in 2019, Reuters reported. “The company’s financial situation has turned 180 degrees.

British car production fell to its lowest level in almost a decade last year as warnings intensified that the UK needed to “re-establish” its reputation as a place to invest, the Financial Times reported. Output fell 14 per cent to 1.3m, the worst since 2010, according to figures from the Society of Motor Manufacturers and Traders on Thursday. The decline of diesel, falling sales to China, and production shutdowns in anticipation of Brexit all hit output, pushing exports down by 14.7 per cent and production for the home market down by 12.3 per cent.

Italy’s UBI is set to extend an insurance partnership with Cattolica for a limited time, sources familiar with the matter said, delaying longer-term decisions while it waits to see how consolidation among mid-sized banks plays out, Reuters reported. Italy’s fifth-largest bank is seen playing a leading role in a new round of M&A between second-tier lenders grappling with negative rates, a stagnating economy and a digital revolution in the industry.

State-owned steelmaker Krakatau Steel has received approval from its creditors to restructure its loans totaling US$2 billion (Rp 27 trillion) by, among other changes, rescheduling repayment to 2027 in order to be able to revive its business, The Jakarta Post reported. Krakatau Steel president director Silmy Karim said in Jakarta on Tuesday that the debt restructuring would cut interest payments to $466 million from $847 million and cut costs by around $685 until 2027.