COMPANY NEWS IN BRIEF

Coca-Cola turns to recycled plastic bottles

Coca-Cola Co will sell its popular sodas in bottles made from 100% recycled plastic material in the United States, the beverage maker said on Tuesday, in a major shift to combat plastic waste and reduce its carbon footprint.

The soda and beverage giant, criticized for being one of the biggest producers of plastic waste, pledged a couple of years ago to collect and recycle a bottle or can for each one it sells globally by 2030.

The company will start rolling out the new 13.2oz bottles of Coke, Diet Coke, Coke Zero Sugar, Coca-Cola Flavours this month in select states in the Northeast, Florida and California.

The Atlanta, Georgia-based firm said the new recycled bottles would help reduce its use of new plastic by more than 20% across its North American portfolio compared with 2018.

"We realize our unique opportunity and clear responsibility to make a positive difference in the global plastic crisis," said Alpa Sutaria, the company's vice president, Sustainability, North America Operating Unit. - Nampa/Reuters

Match Group Inc to buy Softbank Group

Match Group Inc has agreed to buy Softbank Group-backed South Korean social media firm Hyper connect for US$1.73 billion, as the owner of Tinder and Hinge looks beyond romantic connections to help users make friends across geographies.

The cash-and-stock deal announced by the companies on Tuesday marks the biggest acquisition deal so far by Match, which has kept users hooked to its offerings amid the Covid-19 pandemic by adding a slew of new features.

Seoul-based Hyper connect was launched in 2014 and offers mainly two apps, Azar and Hakuna Live.

Azar, which has reported 540 million cumulative downloads so far, allows users to connect with others from around the world and instantly translates voice and text messages.

Hakuna Live, a live streaming app that allows a group of people to connect through video and audio broadcasts, has been downloaded more than 23 million times, with strong momentum in South Korea and Japan. - Nampa/Reuters

Total's earnings pick up in fourth quarter

France's Total said earnings recovered in the fourth quarter as oil prices stabilised, although a hit from write-downs on assets due to the Covid-19 pandemic plunged it to a US$7.2 billion net loss for 2020 as a whole.

Like its rivals, the oil and gas major suffered as fuel consumption plummeted during the pandemic, and Total had already recorded the worst of the charges in the first half of last year.

On an adjusted basis, Total's net income came in at US$4.06 billion for the year. The group said the outlook remained uncertain and it would target another US$500 million in cost cuts in 2021, after saving US$1.1 billion last year.

Total, however, maintained a stable dividend, and also said it planned to change its name to Total Energies, reflecting a major push to pivot away from its dependence on oil and gas and grow its renewable energy production.

It said it would propose a pay-out of 0.66 euros per share for the October to December period, in line with previous quarters in 2020. - Nampa/Reuters

Volkswagen explores flying cars in China

Volkswagen is conducting a feasibility study in China about flying cars, Europe's biggest automaker said on Tuesday, joining a growing number of companies looking into the potential technology.

"Beyond autonomous driving the concept of vertical mobility could be a next step to take our mobility approach into the future, especially in the technically affine Chinese market," the German group said in a statement.

"Therefore, we are investigating potential concepts and partners in a feasibility study to identify the possibility to industrialize this approach," he added.

In an interview with Volkswagen CEO Herbert Diess on Linkedin, the carmaker's China head Stephan Woellenstein said the company wanted to develop a drone that could be licensed, giving it a way to participate in this future market.

China is the world's biggest autos market, and also accounts for the largest part of Volkswagen's sales.

The news comes as companies from start-ups to other global carmakers are racing to develop commercial "robo-taxis", hoping to cash in on a market Morgan Stanley says could be worth US$1.5 trillion by 2040. - Nampa/Reuters

GM extends vehicle production cuts

General Motors Co said on Tuesday it was extending production cuts at three North American plants until at least mid-March due to the global semiconductor chip shortage, while vehicles at two other factories would only be partially built.

GM's US rival Ford Motor Co also said Tuesday that it was in limited cases parking partly assembled vehicles due to the chip shortage.

GM, whose shares dipped 1.1% after the announcement, did not disclose the impact on volumes or say which supplier and vehicle parts were affected by the chip shortage.

But it said it would focus on keeping production running at plants building its highest-profit vehicles. GM said it intended to make up as much lost production as possible once the shortage chip eased.

"Semiconductor supply remains an issue that is facing the entire industry," GM spokesman David Barnas said. "GM's plan is to leverage every available semiconductor to build and ship our most popular and in-demand products." – Nampa/Reuters