Takeovers is the BUZZ!!!!

What is meant by a Takeover in the Business sense?
Well there are hundreds of how one can define a Takeover , but the most easily and apltly understood defination is "A bidding company seeks to obtain a controlling interest (more than 50% of the shares) in the target company."(www.tdwaterhouse.co.uk). I know you must be wondering ,why on earth would I bring this into the Stock Market talk, it is simple , takeovers happening some 10,000 miles away can effect stock markets all over the world and this was seen today, when stocks in Europe and Asia gained after Mitchells & Butlers Plc received an offer and Fortescue Metals Group Ltd. said it held talks on selling shares, prompting speculation acquisitions will increase.According to Julian Chillingworth, who helps oversee $25 billion as chief investment officer at Rathbone Unit Trust Management in London "People are doing deals and that will be supportive of the market,There is still value to be found.''Europe's Dow Jones Stoxx 600 Index added 0.5 percent. France's CAC 40 gained 0.5 percent, while Germany's DAX advanced 0.9 percent. The U.K.'s FTSE 100 increased 0.1 percent.

And again Asian stocks rose, lifting the region's benchmark to a three-week high, after Aluminum Corp. of China Ltd.'s purchase of a stake in Rio Tinto Group fueled speculation of more takeovers.Japan's Nikkei 225 Stock Average added 2.7 percent to 13,859.70.As said by Christian Jin, who oversees the equivalent of $1.6 billion in global equities at CJ Asset Management Co. in Seoul "Stocks are going for incredible bargain prices,We could see a trend in which emerging markets, with all the money they piled up from selling to the U.S., buy up companies in developed markets that are stuck in tough times.''

There are good times to be still looked forward to , since the markets will stabilize slowly, companies are helping global economies and stock markets to revitalise. Hope this process continues for a long time.