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Oracle TikTok Investment Wins Trump's Blessing: Deal at a Glance – BNN

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(Bloomberg) — Oracle Corp.’s agreement to take a stake in TikTok has won the long-awaited blessing of U.S. President Donald Trump.

The proposal, which would give Oracle and other investors minority ownership of a new company called TikTok Global, still needs approval from regulators in China, where TikTok’s parent ByteDance Ltd. is based.

Trump’s praise for the agreement suggests that weeks-long deliberations over the fate of a popular music and video-sharing app are nearing completion. ByteDance began holding discussions with investors in its U.S. operations after the Trump administration threatened to shutter the business, saying that it poses a threat to national security.

While some of the terms remain undetermined, here’s what’s known about the deal, based on public statements and people with knowledge of the matter:

What We Know

  • Who’s in and who’s out
    • Oracle plans to take a 12.5% stake in a round of financing that would precede an IPO
    • TikTok also said that together, Oracle and Walmart Inc. could end up with as much as 20%
    • The new company, called TikTok Global, will seek a U.S. IPO and raise a pre-IPO round of financing
    • Existing Bytedance investors that could participate in the pre-IPO round include Sequoia Capital, General Altantic and Coatue Capital
    • A host of other companies made proposals or considered bidding. Microsoft Corp. was rebuffed because it wanted to control all of TikTok in the U.S., a condition that didn’t sit well with Beijing
  • What the deal looks like
    • Oracle will be TikTok’s “trusted technology provider,” meaning Oracle will house the entity’s data in its U.S. servers — a boon to a cloud computing business that has lagged behind those of Amazon.com Inc., Alphabet Inc. and Microsoft. It will also get access to monitor TikTok’s source code and algorithms
    • Walmart Chief Executive Officer Doug McMillon will sit on Tiktok Global’s board and is discussing a commercial partnership with TikTok
    • TikTok Global will likely be headquartered in Texas and will hire at least 25,000 people, Trump said, without mentioning a timeline for those hires
    • ByteDance would retain a majority stake in TikTok’s assets and control the closely guarded algorithm that determines what clips users see
    • The new company will hold an initial public offering in about a year
  • How the parties are addressing security concerns
    • Oracle will review TikTok’s full source code and updates to make sure there are no back doors that could be used by ByteDance to gather data or spy on the app’s 100 million or so American users
    • Oracle will be able to continue to review the technology as updates come in to make sure there are no new points of access to the data
    • TikTok was able to convince the U.S. government that TikTok Global would be controlled by American investors by counting the passive stakes of existing shareholders in TikTok’s Chinese parent, people familiar with the matter said. Although Bytedance will retain an 80% stake in the new company, because existing U.S. investors hold a 40% stake in ByteDance, the math works out to 53% ownership by U.S. companies and investors
  • Whether Trump will get a payout
    • TikTok Global will use proceeds of the IPO to create a $5 billion education fund
    • “They’re going to be setting up a very large fund,” Trump said Saturday. “That’s their contribution that I’ve been asking for”

What We Don’t Know

©2020 Bloomberg L.P.

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G2S2 Capital Inc. Announces Investment in Cominar Real Estate Investment Trust – Canada NewsWire

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MONTRÉAL, Oct. 28, 2020 /CNW/ – G2S2 Capital Inc. (“G2S2”) announces today that it has increased its ownership of trust units (“Units”) of Cominar Real Estate Investment Trust (“Cominar”) to over 10% of Cominar’s outstanding Units.  

On October 28, 2020, G2S2 acquired 600,000 Units of Cominar through the facilities of the Chi-X alternative trading system at a price of CDN$7.30 per Unit (the “Acquisition”), representing approximately 0.34% of the outstanding Units.  Prior to the Acquisition, G2S2 owned and exercised control over an aggregate of 18,245,100 Units of Cominar, representing approximately 9.99% of the outstanding Units. Immediately after the Acquisition, G2S2 owns and exercises control over an aggregate of 18,845,100 Units of Cominar, representing 10.33% of the outstanding Units.

G2S2 acquired the Units for investment purposes. G2S2 may, from time to time, depending on market and other conditions, increase or decrease its beneficial ownership, control or direction over Units of Cominar through market transactions, private agreements, or otherwise.

In accordance with National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues, G2S2 has filed an early warning report regarding these transactions on the System for Electronic Document Analysis and Review (SEDAR) at www.sedar.com under Cominar’s issuer profile. Cominar’s head office is located at 2820 Laurier Blvd., suite 850 Quebec City, Québec G1V 0C1.

About G2S2

G2S2 Capital Inc. is a privately held investment holding company focused on creating value across a variety of businesses with a long term horizon. G2S2 is incorporated under the laws of Canada. G2S2 is controlled
by George & Simé Armoyan.

SOURCE G2S2 Capital Inc.

For further information: or to obtain a copy of the early warning report, please contact George Armoyan, Executive Chairman of G2S2 at 514-333-8800, extension 1925.

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Inovalis Real Estate Investment Trust initiates strategic review process to enhance unitholder value – Canada NewsWire

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/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/

TORONTO, Oct. 28, 2020 /CNW/ –  Inovalis Real Estate Investment Trust (the “REIT”) (TSX: INO.UN) today announced the formation of a special committee of independent members of the Board of Trustees (the “Special Committee”) to consider strategic alternatives available to the REIT. The Special Committee expects to review and evaluate a wide range of strategic alternatives to enhance unitholder value.  

Given the persistent discount between the REIT’s trading price, the implied IFRS Value, and the Board and management’s view of the REIT’s intrinsic value, the trustees concluded that it would be in the best interest of the REIT and the unitholders to conduct a complete strategic review of its business and organization.

The decision was made after weighing the consequences of the pandemic in the REITs core markets. The REIT will continue to evaluate the possible acquisition or disposition of certain portfolio assets throughout this process.

The Special Committee is comprised of Dan Argiros (Chair), Jean-Daniel Cohen, Michael Lagopoulos, Jo-Ann Lempert, Marc Manasterski, Michael Missaghie and Robert Picard.

There can be no assurance that this process will result in a transaction or other new agreement. The REIT does not intend to disclose further developments with respect to this process, unless and until the Board of Trustees approves a specific transaction, alternative new agreement or otherwise concludes the review of strategic alternatives.

About Inovalis Real Estate Investment Trust
Inovalis Real Estate Investment Trust is an unincorporated, open-ended real estate investment trust established pursuant to a declaration of trust under the laws of the Province of Ontario. The REIT has been created for the purpose of acquiring and owning office properties primarily located in France and Germany but also opportunistically in other European countries where assets meet the REIT’s investment criteria. The REIT currently owns interests in office properties in both France and Germany.

Forward-Looking information

This news release contains forward-looking information within the meaning of applicable securities legislation. Forward-looking information generally can be identified by the use of forward-looking terminology such as “outlook”, “objective”, “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “should”, “plans”, or “continue”, or similar expressions suggesting future outcomes or events. Forward looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Inovalis REIT’s control that could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, global and local economic and business conditions; the financial condition of tenants; our ability to refinance maturing debt; leasing risks, including those associated with the ability to lease vacant space; the impact the COVID-19 virus will have on the REIT’s operations and interest and currency rate functions. The REIT’s objectives and forward-looking statements are based on certain assumptions, including that the Canadian and European economies remain stable, interest rates remain stable, conditions within the real estate market remain consistent, competition for acquisitions remains consistent with the current climate and that the capital markets continue to provide ready access to equity and/or debt. All forward-looking information in this news release speaks as of the date of this news release. Inovalis REIT does not undertake to update any such forward-looking information whether as a result of new information, future events or otherwise except as required by law. Additional information about these assumptions and risks and uncertainties is contained in the REIT’s filings with securities regulators, including its latest annual information form and MD&A.

SOURCE Inovalis Real Estate Investment Trust

For further information: David Giraud, Chief Executive Officer, Inovalis Real Estate Investment Trust, Tel: +33 1 5643 3323, [email protected]; Robert J. Picard, Trustee, Inovalis Real Estate Investment Trust, Tel: +1 416 865 6645, [email protected]

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BoC holds rate, forecasts recovery by 2022 – Investment Executive

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The bank’s updated outlook in its monetary policy report said the rebound over the summer was stronger than expected as the country reversed about two-thirds of the decline seen in the first half of the year.

Officials estimate the economy will shrink by 5.7% this year, but grow by 4.2% next year, and 3.7% in 2022, meaning gross domestic product won’t rebound to pre-pandemic levels for another two years.

In his opening remarks at a late-morning press conference, governor Tiff Macklem said it will take quite some time for the economy to fully recover from the Covid-19 pandemic, and the path will be “uneven across sectors and choppy over time.”

“We know the pandemic is reducing investment and is likely to cause long-lasting damage to some people’s job prospects. These forces will reduce Canada’s economic potential,” Macklem said.

The report forecasts annual inflation at 0.6% this year, 1.0% next year, and 1.7% in 2022.

The bank held its overnight rate target at 0.25% on Wednesday, which is where it will stay until the economy has recovered and inflation is back on target.

The bank also announced Wednesday that it intended to buy more longer-term bonds because those have a “more direct influence on the borrowing rates that are most important for households and businesses.”

James Laird, co-founder of Ratehub.ca said the outlook suggests low interest rates until at least 2023, which is the earliest the bank anticipates the economy would be able to handle higher rates.

The projections for growth and inflation mark a return to the bank’s usual practice of giving a longer view for the economy in its quarterly monetary policy report.

The report said the six months of experience with containment measures and support programs, as well as more information on medical developments like vaccines, has given the bank a better foundation to make a base-case forecast.

Underpinning the bank’s outlook are two major assumptions: That widespread lockdowns won’t be utilized again and that a vaccine or effective treatment will be widely available by mid-2022.

The country has recouped about two-thirds of the three million jobs lost in March and April. Emergency federal aid has replaced lost wages for millions of workers, and provided loans and wage subsidies to struggling businesses.

The recuperation from the drop earlier this year has been uneven, the report notes. The hardest hit sectors, such as restaurants, travel and accommodations, continue to lag.

Workers in those sectors, as well and youth and low-wage workers, continue to face high levels of unemployment, the report says.

All may be hit hard again by any new rounds of restrictions, the report notes. Some areas of the country have already imposed such public health restrictions in the face of rising Covid-19 case counts.

“The breadth and intensity of re-imposed containment measures, including impacts on schools and the availability of child care, could lead to setbacks,” the report says.

“Long breaks in employment have the potential for longer-term impacts on the income prospects of vulnerable groups.”

The report said government aid has played a key role in providing a financial lifeline to individuals and businesses.

Changes to employment insurance and new benefit programs will increase households’ disposable income, officials write, adding that the bank expects government aid to “provide important support to the economy throughout the recovery.”

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