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Image: Henk Kruger
Wake up to the shifts shaping the future.
From boardroom shakeups and billion-dollar bets to the latest tech breakthroughs rewriting the rules, The Company Brief is your front-row seat to the stories moving markets and mindsets.
We cut through the noise so you can stay ahead of the curve, one bold business move at a time.
Oil prices recover, stocks ease as investors weigh geopolitics, US data
Oil prices steadied on Thursday after their recent slide, while stocks retreated as investors assessed the implications of deepening geopolitical tensions and mixed U.S. labour market data. Top U.S. officials said on Wednesday the country needs to control Venezuela's oil sales and revenue indefinitely to stabilise the latter's economy, rebuild its oil sector and ensure it acts in America's interests. That came as the U.S. seized two Venezuela-linked oil tankers in the Atlantic Ocean the same day, one sailing under Russia's flag, as part of President Donald Trump's aggressive push to dictate oil flows in the Americas. Developments in Venezuela continue to dominate headlines following the toppling of Nicolas Maduro, with most of the market reaction thus far playing out in commodities. Oil prices have slid this week on the prospect of higher Venezuelan crude output, though they recovered on Thursday, with U.S. crude rising 0.54% to $56.29 a barrel, while Brent crude futures advanced 0.55% to $60.29 per barrel.
Samsung forecasts profit to triple to a record high as it rides the AI boom
Samsung Electronics on Thursday projected a threefold jump in fourth-quarter operating profit from a year earlier to a record high as tight supply and a surge in artificial intelligence-driven demand stoked prices for conventional memory chips. The results highlight how chip prices have rocketed as chipmakers scramble to keep up with demand for memory chips used in servers, personal computers and mobile devices to meet AI needs. The world's largest memory chipmaker estimated an operating profit of 20 trillion won ($13.82 billion) for the October-December period, beating an LSEG SmartEstimate of 18 trillion won and up from 6.49 trillion won a year earlier, a regulatory filing showed. The operating profit is a new quarterly record, topping its previous high of 17.6 trillion won in the third quarter of 2018. Samsung shares edged up 0.6% in morning trade on Thursday to a record high, adding to a 155% jump over the past year.
Warner Bros rejects revised Paramount bid, sticks with Netflix
Warner Bros Discovery's board unanimously turned down Paramount Skydance's latest attempt to acquire the studio, saying its revised $108.4 billion hostile bid amounted to a risky leveraged buyout that investors should reject. In a letter to shareholders on Wednesday, Warner Bros' board said Paramount's offer hinges on "an extraordinary amount of debt financing" that heightens the risk of closing. It reaffirmed its commitment to streaming giant Netflix's $82.7 billion deal for the film and television studio and other assets. Paramount and Netflix have been in a heated battle for Warner Bros, its prized film and television studios, and its extensive content library. Its lucrative entertainment franchises include "Harry Potter," "Game of Thrones," "Friends" and the DC Comics universe, as well as coveted classic films such as "Casablanca" and "Citizen Kane."
Eskom moves to cut electricity costs after years of load shedding
Power utility Eskom has announced that it is now looking to reduce the cost of electricity while maintaining a reliable supply as the system stabilises despite challenges from ageing power stations. It was previously reported that Minister of Electricity and Energy Kgosientsho Ramokgopa has conceded that rising electricity prices are placing a heavy burden on households and businesses across the country. Ramokgopa also said that the government was taking a range of measures to address rising electricity costs and energy poverty. Eskom Senior Manager Eric Shunmugam said that after years of severe breakdowns and widespread load shedding, the utility has made major strides in stabilising the power system. He added that while the system is now stable, Eskom’s focus is on addressing costs to produce electricity more cheaply, while continuing to ensure a reliable supply from ageing power stations with older technology.