Outlook: Canary takes flight
Wednesday 29 September 1999
Any stroll through the chi-chi shops, restaurants, and coffee bars of Canary Wharf's malls in London's Docklands displays a concentration of affluence as great as any in the world. In its underground car parks, every other vehicle is V reg and every tenth a spanking new BMW, Porsche, Jag or Aston Martin. After years of delay, even the Jubilee line has opened and by the end of the next month it will be possible to travel from Westminster to Canary Wharf in 15 minutes. In summary, Canary Wharf is boom town in microcosm.
What better backdrop for selling shares in the complex? Unfortunately for the vendors, this was not the way the City saw it. Investors figured that if the Wharf's main financial backers are scrambling to sell the moment the lock-in arrangement agreed at the time of flotation comes to an end, then they must have a good reason. Rarely has a shares issue been so spectacularly bungled.
Even the triumphant stock exchange announcement of this forthcoming investment "attraction" was botched. Four of the investment banks listed as synidicate members had within an hour withdrawn their support, if indeed it had ever been offered, while the press release also managed to disclose the operation's codename, "Silver Wings". Assistent heads have presumably already rolled at CSFB, the issue's main sponsor. Senior ones never do.
Perhaps more worryingly, the vendors have succeeded in rekindling old concerns about the investment prospects of this erstwhile white elephant. With its high exposure to the boom industries of investment banking and media, might it not spectacularly bust again in the next business downturn? Should investors in any case be exposing themselves in this way to the prospects of a single office complex? Up until recently, the shares were doing pretty well. What a shame it had to be spoilt in this way.
- 2 The man who filmed the Freddie Gray video has been arrested at gunpoint
- 4 How the language you speak changes your view of the world
General Election 2015: Fishing is on Nigel Farage's mind as he casts a line to the disaffected of Grimsby
The man who filmed the Freddie Gray video has been arrested at gunpoint
Indonesia executions: Death row British grandmother Lindsay Sandiford will refuse to wear a blindfold when she faces firing squad
Oxygen-starved 'dead zones' with no marine life up to 100-miles long discovered in the Atlantic Ocean
Russian warships accused of 'chasing away' Swedish vessel to prevent Baltic States from achieving energy independence
Over 50,000 families shipped out of London boroughs in the past three years due to welfare cuts and soaring rents
EU asylum policy is 'a direct threat to our civilisation', says Nigel Farage
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: SNP and its activists 'openly racist' towards the English, Farage says
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
Schools forced to act as 'miniature welfare states' with teachers buying underwear and even haircuts for poor pupils
iJobs Money & Business
£16000 - £18500 per annum: Recruitment Genius: This is an excellent opportunit...
£24000 - £28000 per annum: Recruitment Genius: A Senior SEO Executive is requi...
£16000 - £18000 per annum: Recruitment Genius: An Online customer Service Admi...
£18000 - £22000 per annum: Recruitment Genius: This global, industry leading, ...