Business Irish

Thursday 18 July 2019

What it says in the papers: business pages

The front page of this morning's Irish Independent business supplement
The front page of this morning's Irish Independent business supplement
Gavin McLoughlin

Gavin McLoughlin

Here are the business stories you need to know about this morning:

Irish Independent

*Irish bookmaker Paddy Power is to reward shareholders with an €80m windfall  when it joins forces with UK company Betfair to create the world's largest online betting firm.

The €7.5bn gambling giant would largely be run from south Dublin, where Paddy Power employs 1,400 of 2,600 Irish workers.

Paddy Power shares have risen nearly 88pc in the past year. Betfair jumped 20pc in value yesterday, valuing the firm at €4bn.

*A court has cleared the way for the former Anglo Irish bank to pursue David Drumm for debts of €10.4m.

Four separate claims by the IBRC have been allowed against the bankruptcy estate of its former chief executive, who is wanted by gardai.

However, it is unclear at this stage how much of the money owed will be recouped by the failed bank, which is now in liquidation. IBRC is deemed an unsecured creditor in relation to almost all of Drumm's debts, leaving it waiting in line with other creditors to be paid.

*An Irish technology company has landed a €31m funding round from investors who include Mark Zuckerberg, Sheryl Sandberg and Twitter boss Jack Dorsey.

Intercom, which makes online customer communication tools, is to use the money to double its Dublin workforce from 70 to 140 over the next year.

The deal values the company at €200m.

The Irish Times

*Dublin residential property price inflation has slowed to less than 10pc for the first time since July 2013.

CSO figures forJuly show prices were up 9pc year-on-year, compared to a rise of over 20pc in April.

Prices outside the capital rose faster. In the country as a whole, prices were up 9.4pc year-on-year in July.

*Aer Arann owner Padraig O'Ceidigh said he was devastated at the Government's decision to give Ireland's air service contract for the Aran islands to a helicopter company.

It's expected 40 jobs will be lost at the airline as a result of the move.

Daily return flights will be provided by helicopter between the islands and Galway Airport for the period from October 1st.

*Pre-tax profit at The Irish Times more than halved from €5.4m in 2013 to €2.1m in 2014.

The fall was due to a decline in newspaper sales - a market wide trend - and the "non-recurrence of an exceptional gain" received in 2013.

Group turnover fell by 0.8pc to €86.9m. Digital revenue grew but revenue from sales of the newspaper fell 6.2pc.

Irish Examiner

*Recovery in Ireland's economy could be indirectly affected by China's weakening growth, according to Ulster Bank's chief economist.

Simon Barry said this country's direct export exposure to China is low at 2pc of total exports, but that this country would be vulnerable to a sustained deterioration in global conditions.

Mr Barry said Chinese macro-financial weakness is the key near-term risk for the world's economy.

*Blockbusters including the latest X-Men and Spiderman films helped contribute to profits more than doubling at cinema company Irish Multiplex Cinemas last year.

The company, which is one of a number of cinema firms owned by Savoy owners the Wards, made a profit of €850,379, newly filed accounts show.

The directors said they expect trading in 2015 to be similar to 2014.

*Wall Street had its best one-day gain in four years yesterday, as fears about China gave way to bargain hunters who believe the US Federal Reserve may not raise interest rates next month.

The rise snapped a six-day losing streak and was led by tech giants Apple, Google and Amazon.

New York Federal Reserve president William Dudley said a rate hike was less compelling than it was some weeks ago.


Online Editors

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