Articles List

Articles List

Investors buzzing about Vietnamese Mobifone's IPC

The IPO of Mobifone will attract considerable interest from investors due to its strong competitive position and growing 3G subscribers, backed by a fast-growing economy. A focus on value-added services is paramount for future partners and we expect Mobifone to choose an investor that fits this mould.

Crude and refined oil growth trickling down in China

We expect industrial commodity import growth to weaken over Q414 due to a renewed slowdown in China's economy. Growth in Chinese iron ore imports fell to 8.5% y-o-y in August, while refined copper imports declined by 11.5% y-o-y.

Slackening supply-demand will suppress global oil prices

BMI View: A strengthening dollar and the pricing out of global risk premiums, in addition to balanced supply/demand equilibrium, support our below-consensus outlook for the global oil prices over the coming months. We have revised downwards our 2014 and 2015 average WTI forecasts to USD97.50/bbl and USD96.0/bbl, respectively. We have further adjusted our Brent forecasts downwards for 2014 and 2015 to USD104/bbl and USD98.5/bbl respectively to reflect our expectations that trading will remain in the USD90s/bbl range over the coming quarters.

India's pipelines and promises threatening CBM gas production

BMI View: Prospective CBM resources offer strong upside risk to gas production in India. However, continued low domestic gas prices threaten to delay needed investment, whilst emerging midstream bottlenecks could cap production growth, beyond 2018.

Aggressive Saudi OSP cuts to sting West African crudes

Saudi Arabia lowering their OSP to Asia and increasing competition from Middle Eastern producers keen to maintain their market shares will continue to hurt West Africa's attempts to diversify their exports east.

Swaziland's state monopoly stifles telecoms growth

The government's near monopoly over Swaziland's telecoms market has stifled growth. Despite a penetration rate below 70% at the end of 2013, mobile growth has been weak since 2010, with the market contracting in 2012.

Private financing to reinforce Ecuador's slower construction

We currently forecast 5.1% real growth for Ecuador's construction industry in 2015. Although this is much lower than the double-digit growth seen in recent years, it is comparatively strong by regional standards. This deceleration comes on the back of a drop-off in government spending as a result of weakening oil revenues. This is exacerbated by Ecuador's persistently weak business environment and prohibitive financing conditions, which continue to isolate the infrastructure sector from private investment.

OTT In Starz' Constellation

Starz Networks' decision to launch an OTT video business, while fraught with risks, is a positive move for the company. It represents a significant break from the operator's traditional business model, which we have noted was weighing on its appeal with prospective investment partners. Nevertheless, original content remains key to success for Starz in a field dominated by a handful of industry heavyweights.