In short

A round-up of today's other business stories in brief ...

European equity issues to reach 300bn

Funds raised in European equity issues could reach as much as €300 billion this year, bankers and analysts are forecasting, as companies attempt to shore up their balance sheets in the face of the financial crisis.

The sharp increase in issues seen this year is likely to accelerate, with funds raised in 2009 expected to reach the highest level since 2001.

“After several years when corporates have been happily withdrawing equity from the markets through share buybacks and leveraged buy-outs, the opposite is likely to be true in 2009 and 2010,” Goldman Sachs said.

"With the high cost of debt, declining operating businesses and in some areas weak corporate balance sheets, companies are likely to ask equity investors to make up the gap in funding." – ( Financial Timesservice)

Eircom challenges Comreg finding

Eircom has brought a legal challenge to a decision by Comreg finding that Eircom has “significant market power” in relation to the “leased lines” market. Comreg’s decision of December 22nd will have significant direct and indirect commercial consequences for Eircom, it is claimed.

The proceedings were admitted to the Commercial Court yesterday.

A leased line is a permanent dedicated connection between two points for the transmission of voice and data. The European Commission has decided there are different wholesale markets for the “terminating” and “trunk” segments of leased lines.

Following a review, Comreg decided that Eircom has significant power in the market for wholesale terminating segments of leased lines.

Glanbia’s Moloney named DCC director

Industrial holdings group DCC has appointed Glanbia group managing director John Moloney as a non-executive director of the company. Mr Moloney has been a director of Glanbia since 2001 and has held a number of senior management positions at the food and ingredients group. He is a director of the Irish Dairy Board Co-operative and a council member of Ibec.

Growth in US boosts Zamano earnings

Mobile data services provider Zamano said it expects full-year earnings for 2008 of approximately €4.8 million, helped by strong growth from its US operations.

In a trading update the company said it expects net debt of €7.5 million for the year ending December 31st and said it remained “highly cash generative”.

Woolworths to be born again online

Woolworths will be reborn as an online store after its brand name was bought by Shop Direct, Britain’s biggest home shopping retailer.

Shop Direct, which operates under brands such as Littlewoods and Kays, said it had also bought Woolworths’ Ladybird children’s wear brand. Financial terms of the deal were not disclosed. – (Reuters)

Mattel’s Q4 profits down almost 50%

Toymaker Mattel succumbed to the slowdown in consumer spending yesterday when Q4 profits fell by almost half, causing its shares to decline more than 15 per cent.

The group had maintained an upbeat outlook in the face of deteriorating conditions before Christmas, but that confidence evaporated yesterday. – ( Financial Timesservice)