Staples stocks had a decent Q1 earnings season but will see negative currency translations in Q2. Plus, not all players in the sector are immune to coronavirus-led lockdowns.

(Bloomberg) -- Wall Street bankers are a lot less busy these days, what with the pandemic-induced drop-off in mergers and acquisitions and initial public offerings.But there’s a gritty, less glamorous dealmaking realm that has held up, and it’s helping banks offset some of that lost M&A and IPO revenue. A variety of companies, looking for liquidity in the weak economy, are selling off big stakes they’ve long held in public corporations.The latest came Monday when French pharmaceutical giant Sanofi launched a $13 billion sale of its 16-year-old, 21% stake in Regeneron Pharmaceuticals Inc. Regeneron, a New York-based biopharmaceutical firm, agreed to buy back about $5 billion of stock while the remaining $7 billion was sold to public investors in the largest public equity offering in the heath-care industry on record, according to data compiled by Bloomberg.Sanofi’s move came a few weeks after the pandemic’s first big deal of this kind, PNC Financial Services Group Inc.’s sale of its quarter-century-old stake of more than $13 billion in BlackRock Inc. The sale was the second-largest equity offering in the U.S. since Alibaba Group Holding Ltd.’s $25 billion IPO in 2014, according to data compiled by Bloomberg.More are coming. SoftBank Group Corp. raised $11.5 billion from transactions related to its stake in Alibaba Group Holding Ltd. which it bought in 2000, and another $2.9 billion capitalizing a 5% stake in its wireless arm. It is also closing in on a deal to sell its roughly 25% T-Mobile US Inc. stake, worth about $20 billion, with a portion being sold to Deutsche Telekom AG, people familiar with the matter have said.These transactions so far account for some of the biggest-ever announced of their kind. All told, there’s been $80.6 billion over 21 secondary offerings announced this year, which beats $53.1 billion over 36 such deals during the same period last year, according to data compiled by Bloomberg.That compares with a 33% drop to $22 billion in volume this year for IPOs in the U.S., the data shows. M&A activity involving U.S.-based targets plummeted 62% during the same period, sinking to $241 billion, according to the data.For Wall Street, the secondary offerings aren’t as lucrative as other dealmaking but they require less work. Banks usually received about 1% to 2% of the deal size for advisers fees, compared to 5% to 7% for handling an IPO. IPOs often involve intensive road shows lasting weeks.Jim Cooney, head of equity capital markets for the Americas at Bank of America Corp., said the strategies make sense in the current economy. “The market prefers that companies stick to their core mission and monetize non-strategic assets before selling their own equity,” he said.The offerings mark another way that companies, distressed or not, have been hunting for liquidity since the beginning of the pandemic. Some have drawn down revolving credit lines, sold bonds or new shares and sold stakes to private equity firms. Investors have been willing buyers of shares, attracted by the discounts since shares are marketed at prices below where the stock is trading.These stake sales have investors speculating on what holdings could be unwound next. Here are some sizable ones to watch based on Bloomberg’s data. Bloomberg News isn’t aware of talks about potential sales of these stakes.SoftBank, UberSoftBank is Uber Technologies Inc.’s largest shareholder with a 13% stake worth $7.7 billion. The Japanese conglomerate, led by founder Masayoshi Son, forecasts an operating loss of 1.4 trillion yen ($13 billion) for the fiscal year ended in March after writing down values of the Vision Fund’s investments including WeWork and OneWeb, a satellite operator that filed for bankruptcy.While it isn’t SoftBank’s oldest or most sizable investment, it could help to recoup some losses.Walgreens Boots, AmerisourceBergenWalgreens Boots Alliance Inc. is the largest shareholder in AmerisourceBergen Corp. with a 28% stake, worth about $5.3 billion. AmerisourceBergen recently made an offer to buy the Walgreens pharmaceutical wholesale division, Reuters reported earlier this month.The news had analysts speculating it could be part of a transaction related to Walgreens exiting part of its stake in AmerisourceBergen. The two companies first saw their paths intertwine in 2013 through a $400 million distribution deal that was supposed to last a decade.Nestle, L’OrealSanofi’s deal to sell Regeneron stock also had analysts speculating it could buy back L’Oreal SA’s 9.4% stake in the drug company.That, in turn, raises the possibility that L’Oreal would buy back a 23% stake worth $35.5 billion that Nestle SA holds in the French cosmetics maker. Since this is a 40-year plus relationship, the deal idea has been long pitched by bankers. Over the years, both sides have said that the investment is long-term.HKEx, Kweichow MoutaiHong Kong Exchanges & Clearing Ltd., owner of the Hong Kong Stock Exchange, has a 8.5% stake worth $20 billion in distiller Kweichow Moutai Co.Kweichow Moutai has become a favorite stock in mainland China, and is up 15% this year, while the Shanghai Shenzhen CSI 300 Index fell 6.7%. Cashing out could help fuel HKEx’s ambitions as a dealmaker. It made a surprise bid for the London Stock Exchange last year.Mondelez, Dr PepperMondelez International Inc., the maker of Oreo cookies and Triscuit crackers, holds about about 13% of Keurig Dr Pepper, following a deal in 2018 when Keurig took control of the soda maker. In early March, right as the pandemic led to lockdowns in North America, Mondelez, and another investor connected to JAB Holdings BV called Maple Holdings BV,sold a $1.1 billion stake in Dr Pepper.The broader question for investors is whether Mondelez could sell more of its shares, Bank of America analyst Bryan Spillane said at the time. Mondelez could tap its equity stakes as a source of liquidity to fund acquisitions, he said.Coke, MonsterThe Coca-Cola Co. owns more than 18% of Monster Beverage Corp.’s stock, making it the Corona, California-based company’s largest shareholder, and Monster also uses Coke’s distribution network. While Coke took the minority stake back in 2014 in a push to capitalize on promising new brands, the beverage giant is getting more aggressive with its own offerings, which has sparked tensions with Monster. Analysts have been trying to figure out what Coke’s energy products mean for the future of the partnership.Liberty Broadband, CharterA 26% stake in Charter Communications Inc. has become a crown jewel for John Malone’s Liberty Broadband Corp. which has guided the company on acquisitions since it invested in 2013. But Malone, a savvy dealmaker, has not stopped reshaping his portfolio even in a pandemic and helped pull off a merger of Liberty Global’s U.K. business with Telefonica SA’s earlier this month.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

CHICAGO, May 13, 2020 -- The Board of Directors of Mondelēz International, Inc. (NASDAQ: MDLZ) today declared a regular quarterly dividend of $0.285 per share of Class A common.

Firm reveals new stakes in snack companies, payment processing and apparel Continue reading...

We hate to say this but, we told you so. On February 27th we published an article with the title Recession is Imminent: We Need A Travel Ban NOW and predicted a US recession when the S&P 500 Index was trading at the 3150 level. We also told you to short the market and buy […]

Ritz Cracker announced the voluntary recall of a limited quantity of Ritz Cheese Cracker Sandwich Family Size product in the United States due to packaging issues. While the product packaging suggests that the Ritz Cracker sandwiches are of the cheese variety, the actual products contain peanut butter, not cheese. People who have an allergy or severe sensitivity to peanuts can suffer life-threatening allergic reactions by consuming foods containing them.

Q1 2020 Mondelez International Inc Earnings Call

As many high schools have closed their physical doors for the rest of the school year, the CHIPS AHOY! and the SOUR PATCH KIDS brands are dusting off their tuxes and planning the perfect updo for the Sweetest Prom Ever!

At the end of February we announced the arrival of the first US recession since 2009 and we predicted that the market will decline by at least 20% in (Recession is Imminent: We Need A Travel Ban NOW). In these volatile markets we scrutinize hedge fund filings to get a reading on which direction each […]

(Bloomberg) -- Cocoa grindings have beat expectations this year and prices have started holding up, but don’t be fooled: there’s a grim picture emerging for chocolate demand.Better-than-anticipated European and Asian grindings -- where beans are turned into products used in chocolate bars -- recently suggested that demand may have proved fairly resilient to the coronavirus crisis. But analysts and traders say that was fueled more by processors ramping up output ahead of potential supply-chain disruptions, rather than real consumption.There are already signs that demand is falling as lockdowns shutter some retail outlets and prompt fewer impulse purchases. Chocolate companies like Nestle SA and Mondelez International Inc. have reported easing sales or warned about confectionery demand, and there are worries that rising unemployment and lower incomes will curb spending on treats.“These sales figures and other anecdotal evidence are suggesting a disconnect between grind and consumption,” said Jonathan Parkman, co-head of agriculture at Marex Spectron Group in London. “The evidence is beginning to stack up that the increase in grindings may have had more to do with filling up the supply chain than any increase in sales.”It’s likely that lockdowns will reduce chocolate gifting, impulse buying and purchases of premium products, he said.Even though first-quarter grindings largely fared better than expected, Nestle and Hershey Co. saw declines in confectionery sales volumes during the period. While supermarket and online sales of chocolate snacks in Europe were fairly steady in April, that’s unlikely to compensate for slumping sales of at least 80% elsewhere at places like fuel stations, specialist stores and vending machines, said Maxime Boucher, an analyst at Bloomberg Intelligence.In Europe, the biggest chocolate-consuming region, chocolatiers offered steep discounts last month to entice buyers. Companies have so far remained quite tight-lipped about demand prospects, but Lindt & Spruengli AG and Hershey have withdrawn their 2020 outlook. Lindt’s first-half sales will probably drop 14%, Bank Vontobel AG estimates.Mondelez’s chief executive officer last week warned that sales growth in categories including chocolates and biscuits will slow, while processor Barry Callebaut AG said its gourmet and specialties volumes will be particularly impacted by waning out-of-home consumption.The fallout from the pandemic will be reflected in second-quarter grindings and earnings from chocolate companies, said Eric Bergman, vice president at JSG Commodities in Norwalk, Connecticut.“Falling chocolate demand has the potential to turn global grindings growth negative for the current year,” he said. “This significantly narrows the expected deficit and may even put the current year into surplus.”Olam International Ltd., the third-largest processor, now expects global grindings to fall 1.5% this season, the first drop in four years. Some analysts are calling for bigger declines, and many traders estimate a global cocoa surplus for the current season.Still, cocoa futures have largely drifted sideways since early March, suggesting that demand worries haven’t increased since then. Olam’s chief trading officer last month said traders should pay more attention to bad weather that’s hit crops in top grower West Africa and that there are supply risks ahead. Global output will be 100,000 tons smaller than forecast late last year after desert winds curbed West African production, he said.“There is currently some tightness in West Africa with pressure on cocoa port arrivals, and irregular weather patterns increases worries over supply going forward,” said Casper Burgering, an economist at ABN Amro Bank NV in Amsterdam. “These worries will persist and keep prices volatile.”Still, demand remains the biggest unknown for the market. While some nations in Europe are preparing to reopen economies, it’s unclear how cocoa demand will fare going forward.“Chocolate demand in western Europe and North America is closely linked to GDP,” said Paul Hutchinson, chief trading officer for Olam Cocoa. If this is U- or V-shaped, we would expect grindings to recover.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Like the majority of investors, you're most likely working on a retirement portfolio that will provide a large enough nest egg to give you a comfortable retirement. Make sure you know all about what financial planners call the accumulation and distribution phases of retirement planning.

Mondelēz Global LLC announced today a voluntary recall of a limited quantity of RITZ Cheese Cracker Sandwiches Family Size (21.6 oz. This recall is being conducted because the outer packaging indicates that the product is Cheese variety, while the individually-wrapped product contained in the package is Peanut Butter variety. The outer carton does, however, provide an allergen advisory statement indicating that the product “May contain peanuts.”

Mondelēz International, Inc. (MDLZ) today published its 2019 Snacking Made Right Report, highlighting the company’s significant progress towards achieving its 2025 sustainable and mindful snacking goals. The report outlines Mondelēz International’s ongoing commitment to lead the future of snacking by leveraging its global scale to deliver positive change. The Snacking Made Right report includes Mondelēz International’s signature sustainable sourcing programs and approaches driven by the company’s purpose – to empower people to snack right by providing the right snack, for the right moment, made the right way.

Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Mondelez (MDLZ) have what it takes? Let's find out.

For an "Executive Decision" segment of Mad Money Wednesday night, Jim Cramer checked in with Dirk Van De Put, CEO of Mondelez International Inc. , for the latest read on the packaged foods sector. Van De Put said consumers want comfort and they're turning to trusted brands like Oreo and Ritz. Snacking has been trending higher since the pandemic began and Van De Put said that trend is likely here to stay as a percentage of consumers will stay at home.

The largest Insider Buys this week were for Mondelez International Inc., Southern Co., Illinois Tool Works Inc. and Kinder Morgan Inc. Continue reading...

Fund’s new buys include Ackman holding Lowe’s Continue reading...

CHICAGO, May 20, 2020 -- Mondelēz International, Inc. (NASDAQ: MDLZ) announced that Dirk Van de Put, Chairman and CEO, and Luca Zaramella, Chief Financial Officer, will present.

Consumer spending has plummeted during the pandemic, and constraints on how companies do business will create more problems.

Three consumer staples stocks in the food market that are demonstrating these characteristics include Beyond Meat (NASDAQ: BYND), Mondelez International (NASDAQ: MDLZ), and General Mills (NYSE: GIS). Continuing to do its best imitation of Tesla Motors and smoothly evade all the pitfalls that pundits forecast will bring its stock price crashing back to earth, Beyond Meat enjoys several favorable factors that may help sustain its winning streak.