VIRGIN MEDIA, O2 COMBINE TO CREATE NEW TELECOM GIANT
Telefonica SA and Liberty Global Plc have agreed to create the U.K.’s largest phone and internet operator, threatening their rivals and marking another industry-defining deal for Colorado billionaire John Malone.
The deal values the combination of Telefonica’s O2 with Liberty’s Virgin Media at 31.4 billion pounds ($39 billion). The companies said in a statement Thursday they plan a joint venture with equal stakes that will account for Virgin’s higher value — and debt load — with a payment to O2.
The announcement is the latest deal for Malone, Liberty’s billionaire chairman, who has been on a relentless M&A spree since selling cable provider Tele-Communications Inc. to AT&T Inc. for $48 billion in 1999.
U.S. consumer borrowing falls. U.S. consumer borrowing unexpectedly slumped in March by the most in more than a decade, reflecting a record downturn in creditcard debt outstanding as the coronavirus caused shopping to grind to a halt.
The $12 billion decrease in total credit from the prior month followed a revised $19.9 billion February gain, Federal Reserve figures showed Thursday.
Nasdaq 100 Index closes above $100B. In tech stocks, the Invesco QQQ Trust Series 1, which tracks the Nasdaq-100 Index, closed with a market value of more than $100 billion for the first time since it began trading in 1999. The Nasdaq Composite Index turned positive for the year, whereas the S&P 500 and the Dow Jones Industrial Average are still down. Investors are picking technology as a safe corner.
Beef plant worker’s family sues JBS. The family of a beef plant worker who died because of the coronavirus has brought a wrongful-death lawsuit in a Philadelphia court against JBS SA, the world’s biggest meat company.
Ferdinand Benjamin filed the lawsuit Thursday after his father,
Enock Benjamin, died of respiratory failure caused by COVID-19, according to a copy of the timestamped complaint provided by Saltz Mongeluzzi & Bendesky, the law firm representing the family. Enock Benjamin worked at the JBS USA plant in Souderton, Pa.
Uber has fewer riders. Uber Technologies Inc. said quarterly bookings from ride-hailing customers declined for the first time ever, a sign that the coronavirus is arresting growth of businesses that have gone only in one direction.
One bright spot was food delivery, which helped offset the drop in rides. Home-bound customers drove a 52% increase in food delivery gross bookings to $4.68 billion in the first quarter.
Aldo seeks protection. Footwear retailer Aldo Group Inc. began a court restructuring process Thursday after the pandemic shuttered stores and worsened the company’s struggling business.
Sephora, J.C. Penney settle dispute. J.C. Penney Co. and Sephora USA Inc. said in a court filing Thursday that they have agreed to settle a legal dispute over the continued operation of about 650 instore beauty boutiques. Terms of the settlement weren’t disclosed.