GrubHub Got Away, But There Are Other Opportunities to Consider

Uber (UBER) might have missed out on the highly-publicized GRUB acquisition, but there are other opportunities for the ride sharing pioneer.

So believes BTIG analyst Jake Fuller, who highlights three different strategies that “could collectively be worth ~$600 million to annual EBITDA (coincidentally in line with the synergy projected with a GRUB combination).”

Fuller’s first suggestion relates to deconsolidation – basically, the removal of a subsidiary off the balance sheet. Fuller thinks Uber is willing to consider the deconsolidation of its losing self-driving car business, ATG (advanced technologies group). With an 80% stake in a business expected to report a “$400 million-plus annual loss,” wiping it off the balance sheet would require Uber to “solicit additional investment.”

“ATG would need ~$2.6 billion of new capital (UBER bearing all of the dilution) to drop ownership below 50% and deconsolidate. Given the size of the investment required, it’s unlikely

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Here’s what Joe Biden means for markets, business and America

I say Joe Biden has a 50% chance of getting elected in November and if you buy that impartial fact, then it’s probably a good idea to understand what a Biden presidency means for the economy, markets and business. 

This is no small thing. 

If he wants to win, Biden has 136 days to convince the electorate that he can best manage the economy. The candidate has some work to do. While the former Vice President leads in national polls, according to a recent Reuters/Ipsos poll 43% of registered voters said they thought Trump would be a better steward of the economy than Biden, against 38% who said Biden would be better. And a late-May Washington Post-ABC News survey said those polled trusted Trump and Biden in nearly equal measure to oversee the economic recovery. At the very least, Biden does not appear to have an advantage when it comes

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Latest Craze or Long-Term Growth Opportunities?

During the beginning stages of the Covid-19 pandemic, office workers and most other employees who were able to work from home shifted to remote operations. At first, these measures were expected to be temporary. However, as it has become clearer that the virus is here to stay (much like the 1918 flu), a growing number of jobs are shifting to more permanent at-home positions.

One reason for this may be to reduce the spread of the virus, but the work-from-home industry is gaining another unlooked-for boost from this trend: more people are discovering that their teams work more quickly and efficiently from home than they ever did in an office. Instead of commuting and travelling longer distances to meet some clients and business partners, employees and executives alike can now spend that time either working or relaxing, both of which increase the efficiency of their work far more that sitting

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Why a recession can be a good time to start a business

GM went on to become a global car industry giant
GM went on to become a global car industry giant

What do General Motors, Burger King, CNN, Uber and Airbnb all have in common?

The were all founded during economic downturns.

GM launched in 1908, when the US economy was in turmoil after “the Panic of 1907” financial crisis. Meanwhile, Burger King flipped its first patty in 1953, when the US was again in recession, and CNN started its news broadcasts in 1980, when US inflation hit almost 15%.

For both Uber and Airbnb, they set up business during the global financial crisis of 2007-09.

These examples show that many of the best, and longest-lasting, companies are set up during downturns, according to Dane Strangler, a fellow at the Bipartisan Policy Centre, in Washington DC. He says that the difficult economic backdrop makes them both tougher and more nimble for years to come.

Airbnb launched in August 2008
Airbnb launched in August 2008

“There’s this

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