U.S. Senator Christopher DoddChip Somodevilla
Welcome to the Morning Meeting, a recap of news on deals and deal makers from around the world.
Chinese banks shore up balance sheets
Everbright Banks is the latest Chinese state-owned lender to announce plans to go public, just as Agricultural Bank of China markets its more than $20-billion (U.S.) IPO. Although a number of Chinese banks have already gone public, many are expected to come back to the market to meet strict new regulations because a big lending spree in 2009 could result in some bad loans. Read the whole story here.
U.S. rating agencies scared to rate
The new Dodd-Frank Wall Street reform bill imposes a new burden on U.S. rating agencies. Historically, these firms had legislative protection from being sued if any of their ratings turned out to be wrong. The new bill no longer grants that cover. Ford Motor Co. already had to pull an ABS financing after rating agencies refused to assume liability by being included in the offering documents. Read the whole story here.
Tech sector heats up
Green Dot Corp., maker of reloadable cards used for online shopping, bill payments and store purchases, saw its shares soar more than 20 per cent Thursday after raising more than expected in its $164-million (U.S.) IPO. It's a sign that markets view the tech sector positively, especially after such strong earnings from such firms as Intel and Microsoft. Read the whole story here.