2025-10-29 20:39

BRUSSELS, Oct 29 (Reuters) - Anglo American's (AAL.L) , opens new tab $500 million sale of its Brazilian nickel assets to a unit of Hong Kong-listed MMG (1208.HK) , opens new tab faces an EU antitrust investigation after regulators rejected the companies' proposed remedies, two people with direct knowledge of the matter said on Wednesday. The companies had offered to buy ferronickel from MMG for resale in Europe for up to 10 years to ease concerns that the deal could cut off some of the supply of the metal for customers in Europe amid global concerns about the supply of key minerals under China’s influence. Sign up here. The European Commission, which acts as the EU competition enforcer, has not asked for feedback from rivals and customers regarding the proposed remedy, one of the sources said. The EU executive, which is scheduled to finish its preliminary review of the deal on November 4, did not immediately respond to a request for comment. The companies said in a joint statement that they continue to work with the Commission to secure its approval for the deal. "This includes the measures that we have recently put forward to ensure continued access to sustainable produced cupronickel, which we believe presents them the most positive outcome for customers," they said. "We believe that European customers would support Anglo American's ongoing role as a marketer of cupronickel, while supply competition in Europe would also increase with the addition of MM as a new supplier," they added. https://www.reuters.com/legal/litigation/anglo-americans-mmg-deal-faces-eu-antitrust-probe-source-says-2025-10-29/

2025-10-29 20:37

Tariffs and beef costs pressuring Chipotle's margins Households earning below $100,000 a year cut visits sharply, says CEO Company signals sales pressure through early 2026 Oct 29 (Reuters) - Chipotle Mexican Grill (CMG.N) , opens new tab on Wednesday cut annual sales forecast for the third time this year, warning that consumer spending on dining out is likely to remain under pressure through early 2026, sending its shares down 15% after the bell. U.S. households earning less than $100,000 a year, which make up about 40% of Chipotle's sales, have pulled back sharply, executives said. Customers aged 25-35 years were particularly pressured, owing to rising unemployment, resumed student loan payments and sluggish wage growth, CEO Scott Boatwright said. Sign up here. President Donald Trump's shifting trade policies, persistent inflation and growing fears of a prolonged U.S. government shutdown have rattled consumer confidence in recent months, hurting even higher-income consumers. Tariffs and surging costs of beef, Chipotle's largest commodity, have fueled inflation, with executives saying the company would take a "slow and measured" approach to price hikes in 2026 rather than fully offset cost pressures. "While the move will pressure margins, we think it's the right thing to do," Chief Financial Officer Adam Rymer said on a post-earnings call. Chipotle also flagged issues with digital order accuracy, ingredient availability and cleanliness, based on an internal survey. The company is retraining staff and tweaking bonus incentives to bolster customer experience and digital execution. "Even though Chipotle has long argued it offers strong value given its high-quality ingredients, many consumers aren't buying it," Emarketer analyst Zak Stambor said. Third-quarter comparable restaurant sales at the burrito chain rose 0.3%, compared with analysts' estimate of a 1.36% rise, according to data compiled by LSEG. Adjusted earnings per share came in at 29 cents, in line with the estimate, while restaurant level margin fell to 24.5% from 25.5% a year ago. The company expects 2025 comparable restaurant sales to decline in the low-single digit range, compared with prior forecast of about flat. https://www.reuters.com/business/chipotle-cuts-annual-sales-forecast-again-2025-10-29/

2025-10-29 20:09

Oct 29 (Reuters) - Mastercard (MA.N) , opens new tab is in late-stage talks to acquire crypto startup Zerohash for between $1.5 billion and $2 billion, Fortune reported on Wednesday, citing five sources familiar with the matter. If the deal goes through, it would be Mastercard's one of the biggest bets yet on stablecoins, the report said , opens new tab, adding that the talks might still fall through. Sign up here. Mastercard and Zerohash declined to comment on Reuters' request. Card firms are increasingly integrating stablecoins, cryptocurrencies pegged to assets such as the U.S. dollar, into their systems, viewing the technology as a faster, cheaper and safer alternative to traditional payment methods, while tapping into blockchain infrastructure. Mastercard has long recognized the potential of stablecoins, as reflected in its partnerships with companies such as Crypto.com, OKX and Kraken. Zerohash, founded in 2017, develops infrastructure for stablecoin and blockchain, which allow companies such as Mastercard and other finance firms in services such crypto trading, custody and staking. Last month, Morgan Stanley said it would offer cryptocurrency trading on its platform E*Trade from the first half of 2026 through a partnership with Zerohash. The crypto startup completed a financing round of a little more than $100 million earlier in the year, giving it a valuation of over $1 billion. The funding round was led by Interactive Brokers (IBKR.O) , opens new tab, while Morgan Stanley, SoFi and others also participated. The potential deal for Zerohash follows previous discussions by Mastercard and Coinbase to buy stablecoin startup BVNK for about $2 billion, the Fortune report said. However, Coinbase (COIN.O) , opens new tab appears to have won that race and is in exclusivity with BVNK. Coinbase declined to comment, while BVNK did not immediately respond. https://www.reuters.com/business/mastercard-poised-buy-crypto-firm-zerohash-nearly-2-billion-fortune-reports-2025-10-29/

2025-10-29 20:06

SAO PAULO, Oct 29 (Reuters) - E-commerce firm MercadoLibre (MELI.O) , opens new tab posted on Wednesday a net profit below analysts' expectations, impacted by currency effects and weaker demand in Argentina, while a free-shipping boost in Brazil hit margins but helped to drive a revenue beat. Uruguay-headquartered MercadoLibre, Latin America's most valuable company by market cap, posted a $421 million net income for the July-September quarter, up 6% year-on-year but missing the $481 million expected by analysts in a LSEG poll. Sign up here. Net revenue for the firm, which runs an e-commerce platform in Latin America and fintech Mercado Pago, grew 39% to $7.4 billion, above the $7.2 billion expected by analysts, as sales measured by Gross Merchandise Value (GMV) jumped 35% on a currency-neutral basis. "We made investments in Brazil and we are already seeing the paying-off of those investments," Chief Financial Officer Martin de los Santos told Reuters. MercadoLibre in June lowered its free-shipping threshold in Brazil, its main market, which helped it to deliver in the country a 34% GMV jump and its fastest unique buyers growth since early 2021. However, the initiative continued to hurt profitability, with its operational margins, or EBIT margins, falling to 9.8%, the lowest since the fourth quarter of 2023. Sales in Argentina slowing down from the first half of the year also contributed to margin contraction, as higher economic instability led to weaker demand, de los Santos said, adding that on the other hand Mexican operations were margin accretive. MercadoLibre's management has been saying that the company will not miss growth opportunities that could be key to long-term development even if those opportunities might generate short-term margin pressure. The firm's EBIT (earnings before interest and taxes) increased 30% year-on-year to $724 million, but missed the $752 million estimated by analysts. The CFO said the peso devaluation and higher tax rate in Argentina also negatively impacted MercadoLibre's net profit. For the fintech Mercado Pago, its loan book rose 83% year-over-year to $11 billion, mainly driven by credit cards, while the 15-to-90-day delinquency rate fell to 6.8% from 7.8%. Total payment volume from Mercado Pago's acquiring operations grew 32% to $47.7 billion. https://www.reuters.com/world/americas/mercadolibres-third-quarter-net-profit-misses-estimates-despite-revenue-beat-2025-10-29/

2025-10-29 20:04

NEW YORK, Oct 29 (Reuters) - At least two U.S. judges on a panel considering whether Argentina must pay investors $16.1 billion after seizing control of state-owned oil company YPF (YPFDm.BA) , opens new tab in 2012 questioned on Wednesday whether the case belonged in the United States. The judges were part of a three-judge panel of the 2nd U.S. Circuit Court of Appeals in Manhattan that on Wednesday reviewed Argentina's bid to set aside a trial judge's September 2023 award to two minority shareholders of YPF. Sign up here. Argentina has argued the case should have been heard at home, and questioned the judge's interpretations of Argentine law. Burford Capital (BURF.L) , opens new tab has funded much of the litigation and could receive billions of dollars if the award were upheld. Its shares fell more than 10% after the two judges made their comments. https://www.reuters.com/business/energy/us-judges-question-whether-argentina-ypf-case-belongs-us-2025-10-29/

2025-10-29 20:02

Argentina appealed award over YPF nationalization Judges question whether dispute belonged in United States Litigation funder Burford's shares tumble Case could affect Milei's bid to remake Argentine economy NEW YORK, Oct 29 (Reuters) - A U.S. appeals court on Wednesday signaled a willingness to set aside a $16.1 billion judgment against Argentina for seizing control of state-owned oil company YPF (YPFDm.BA) , opens new tab in 2012, because the case didn't belong in the United States. Two judges on a three-judge panel of the 2nd U.S. Circuit Court of Appeals in Manhattan expressed sympathy for Argentina's argument that the case should have been heard at home, where local judges could interpret local law. Sign up here. Argentina is seeking to overturn U.S. District Judge Loretta Preska's September 2023 award to two former shareholders of YPF, Petersen Energia Inversora and Eton Park Capital Management, for alleged losses stemming from YPF's nationalization. "It does have a feel like this should have been in Argentina," Circuit Judge Denny Chin told Paul Clement, a lawyer for Petersen. "Here we are trying to figure out what these Argentina cases, Argentine statutes are saying," Chin added. "The judgment is against the republic for actions taken as a republic. If you were to flip it and put the United States in their shoes in Argentina, how would we be feeling about letting an Argentine court decide issues against the United States under American law?" If the $16.1 billion award were set aside--which a lawyer for Argentina said has grown to $18 billion with interest--it would be a defeat for UK-based Burford Capital (BURF.L) , opens new tab, which is funding the litigation and would receive much of the award. Burford's share price fell as much as 15% in New York after Chin and Circuit Judge Jose Cabranes questioned whether the lawsuit belonged elsewhere. Circuit Judge Beth Robinson also sat on the panel. ARGENTINA, MILEI FEAR BIG AWARD COULD HURT ECONOMY Argentina and its President Javier Milei, whose party won a decisive victory in Sunday's midterm legislative elections, believe a big award could cripple the country's economy, which has long been overburdened by debt and triple-digit inflation. Milei, a free-market libertarian, has been slashing public spending and jobs, reducing monthly inflation and has given Argentina its first budget surplus in 14 years. He also has support from U.S. President Donald Trump, who offered a potential $40 billion bailout, including a $20 billion currency swap and $20 billion credit line. The appeal concerns Argentina's 2012 decision to expropriate 51% of YPF's shares from Spain's Repsol (REP.MC) , opens new tab for about $5 billion without making a tender offer to Petersen and Eton Park, respectively YPF's second- and third-largest investors. Argentine President Cristina Fernandez de Kirchner at the time said YPF, which had been privatized in 1993, should be re-nationalized because it failed to produce enough oil and natural gas to keep up with local demand. Preska found that Argentina breached its obligations, and ordered that it pay $14.39 billion to Petersen and $1.71 billion to Eton Park. Those sums reflected $8.43 billion of damages, plus $7.67 billion of prejudgment interest at an 8% rate. ARGENTINA SEPARATELY APPEALING YPF TURNOVER ORDER Robert Giuffra, a lawyer for Argentina, told the appeals court the judgment was "literally life-threatening to the country," and said Preska "made up an unprecedented remedy, not authorized by Argentine law." He also said the damages were inflated, representing 45% of Argentina's overall budget for 2024, saying it would be like ordering the United States to pay more than $2 trillion based on an equivalent percentage of federal spending. Clement countered that "given Argentina's checkered economic past and its penchant for nationalism," YPF investors needed protections in case the country pursued a re-nationalization, and which they might not find in Argentine courts. "When you're seeking significant compensation from a foreign sovereign," Clement said, "there is some reason to think that you're not going to get as fair a shake than if you sue here." The appeals court did not say when it will rule. It typically takes at least a few months to rule in complex cases. Argentina is also appealing Preska's June 30 order that it turn over the YPF shares to partially satisfy the $16.1 billion judgment. In August, the 2nd Circuit put that order on hold to allow Argentina to appeal. The U.S. government took no position in Wednesday's appeal. It opposed requiring Argentina to turn over its YPF shares, saying it could interfere with foreign policy and expose the United States to similar treatment in other countries' courts. The cases are Petersen Energia Inversora SAU et al v Argentina, 2nd U.S. Circuit Court of Appeals, Nos. 23-7376, 23-7463 and 23-7614. https://www.reuters.com/business/energy/argentina-ask-us-appeals-court-overturn-161-billion-ypf-judgment-2025-10-29/