Other finance stories in brief
US bank sues over losses on subprime
US bank MT, in which AIB has a 24 per cent stake, has filed a lawsuit against Deutsche Bank, over $82 million (€51.5 million) investments linked to US subprime mortgage assets that went sour.
MT, which is based in Buffalo, New York, claimed in a lawsuit filed in New York Supreme Court on Monday that Deutsche Bank and HBK Investments, a hedge fund based in Dallas, Texas, inflated the value of mortgage securities known as collateralised debt obligations (CDOs) leading to its losses.
The lawsuit alleged that Deutsche "withheld from the ratings agencies material information about the quality and default problems" that the German bank was experiencing with CDOs, according to a report in the Wall Street Journal.
Digital TV group rejects rumours
The Eircom-backed OneVision consortium, which is bidding for three digital terrestrial television multiplexes, has said the difficulties in Australia of the telco's manager Babcock Brown have no implications for its bid.
"Eircom, the operating company which has a shareholding in OneVision, is unaffected by any of the recent press speculation regarding Babcock Brown. Eircom's commitment to the OneVision consortium remains unchanged," OneVision said.
Shares in Babcock Brown, which more than halved in value last week, gained 12.95 per cent on the Australian market yesterday. The bank manages a fund that operates Eircom and has an 8 per cent stake in the fund.
Tungsten boosts Ormonde shares
Shares in Ormonde Mining surged yesterday on news that its Barruecopardo mine in Spain contains double the amount of tungsten previously estimated.
The mine holds 18,000 metric tons of the metal used in light bulbs and drill bits, compared with 7,000 tons estimated in January, the company said in a statement.
Shares in Ormonde closed 5 per cent stronger at 16.8 cent in Dublin.
Horizon deal unconditional
Avnet said yesterday that its €101.3 million offer for Dublin-listed Horizon was now unconditional, having been accepted by 90.65 per cent of shareholders.
The €1.18 a share cash offer will remain open for acceptance until further notice.
Cemex forecasts strong profits
Cemex, which owns the former Readymix operations in Ireland, has forecast that second-quarter operating profit will rise 19 per cent as added sales from its $14.2 billion (€9 billion) acquisition of Rinker Group should help offset a slump in US housing.- (Bloomberg)
NTR completes wind farm deal
National Toll Roads (NTR) has completed a previously announced deal to invest $150 million in St Louis, Missouri-based Wind Capital Group.
The US company is developing wind farm projects in eight states across the central US.
Norkom names financial chief
Norkom Technologies has appointed Liam Davis as chief financial officer. He joined Norkom in 1998 and is a fellow of the Chartered Association of Certified Accountants.
