Campari Shares Dip Amid Tax Investigation; Oil Prices Rise

In the latest developments within the business sector, Italian beverage company Campari is facing significant challenges as its shares plummet nearly 3% following a substantial tax investigation. Concurrently, the oil market is experiencing fluctuations as Opec+ has decided to halt its planned output increases, leading to a rise in oil prices amid concerns of a potential glut.

bitcoin This morning, shares of Campari fell significantly after Italian tax authorities seized €1.29 billion worth of shares from its controlling shareholder, Lagfin. This action comes on the heels of a tax evasion probe that uncovered €5.3 billion in allegedly undeclared capital gains. According to police statements released on Friday, the initiative targeted shares held by Lagfin, which is the parent company of Campari.

Prosecutors allege that Lagfin neglected to pay taxes associated with companies relocating their fiscal residence abroad. This claim stems from Lagfin's acquisition of an Italian subsidiary that held control over Campari. The authorities argue that this reorganization shifted management and the tax base of the group overseas, thus incurring the disputed tax liability. In response to these allegations, Lagfin has firmly denied any wrongdoing, maintaining its position as it navigates this legal challenge.

In a related sector, Empiric Student Property, which is currently in the process of being acquired by Unite Group, has reported a decline in bookings from Chinese students. The company informed shareholders that occupancy rates have dropped to 89% at the start of the current academic year, a noticeable decrease from 95% in October of the previous year.

Unless conditions improve, achieving the company's occupancy goals for this academic year is expected to be “challenging.” CEO Duncan Garrood stated, “The booking cycle for academic year 2025/26 has seen an increase in reservations from UK students and a reduction in the number of Chinese students staying with us, potentially the result of geopolitical events.” He reassured stakeholders that rental growth remains consistent with projections and the company is strategically positioned for upcoming sales activities in January, while also enhancing the quality of its portfolio.

In the oil market, the UK stock market has kicked off the week with a modest uptick, as the FTSE 100 index rose by 12 points, equivalent to 0.13%, reaching 9730 points. Notable gainers include Legal & General (+1.4%), Standard Chartered (+1.6%), and BP, which is up by 1.5%. Shares of major oil companies have seen a rise in early trading in London following Opec+’s decision to pause its plans for increasing oil output in the early months of 2026 amid concerns over a potential supply glut.

BP has emerged as one of the top performers on the FTSE 100 index, with a 1.75% increase in its share price after announcing the sale of its non-controlling interests in the Permian and Eagle Ford midstream assets of its U.S. onshore oil and gas operations for $1.5 billion. Meanwhile, Shell's shares have climbed by 1%, buoyed by target price upgrades from financial institutions Berenberg and Citigroup.

At the forefront of discussions regarding future oil demand, the energy minister of the United Arab Emirates, Suhail al-Mazrouei, has predicted that the growth of artificial intelligence (AI) data centers will lead to increased oil consumption in 2026. During the ADIPEC energy conference in Abu Dhabi, when questioned about the likelihood of an oil surplus in 2026, he responded, “I think all of what we are seeing is more demand.”

Mazrouei emphasized the necessity for energy investments, as the burgeoning AI and data center industries require substantial power. He noted, “There is a requirement for more energy ... and we need to make sure the environment for investment is allowed to do that.” He called for a balance between energy production and environmental considerations, highlighting the importance of strategic investments in the energy sector.

As we assess the current landscape of business and economics, the issues facing Campari and Empiric Student Property underscore the complexities of regulatory challenges and market dynamics. Meanwhile, the oil sector grapples with supply and demand considerations amidst shifting geopolitical factors. The interplay of these elements will continue to shape the economic environment as we progress further into the year.