Hi there,

How y’all been?! Another week bites the dust, while another is upon us.

We’re in the smack middle of the year… so 50% more to go. Hehe you think I’m here to motivate you? LOOOL!

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One of y’all twitted at me this weekend that you can’t believe that I’m a guy.  What did you think?In any case, I’m back with the stock market topical news of the week! This week, its Toyota, Zendesk’s acquisition cut by 50%, Kellogg’s split and the elephant in the room – Amazon.

Let’s get it!


Toyota Could Augment bZ Lineup With New, Saucier-Looking EV SUVs

I know how we promise to “ride till the wheels fall off” …Well, Toyota is right there with us & may have taken it a little too literally.

Just two months after launching their set of first Electric vehicles, Toyota announced that they would be recalling ~2700 units of the bZ4X SUV. The bZ4x is the first EV from Toyota that was produced for the global market.

I bet the big question on your mind is – What in God’s universe is this?!

The vehicles are being recalled because after a few drives, all (not one or two) of the hub bolts on the wheel of the subject vehicle can loosen and the wheel can fall off. I mean, that’s an accident/crash in the making.

Of the 2,700 recalled EVs, 2,200 were set to be delivered to Europe, 260 to the United States, 10 to Canada and 110 to Japan.

While Toyota investigates the cause of the issue, sales and deliveries from the company’s plant in Motomachi, Japan have been halted. And owners of the $42,000 EV are being instructed not to drive the car at all until a solution has been found and implemented.

Imagine spending $42k on a car and not being able to drive it?

Reputation in the mud. Toyota has worked hard over the years to set the industry standard for reliability & durability but as it stands?

Let me go ahead and mind my business.


The journey to Zendesk’s acquisition has been quite arduous.

It started with an offer in February to buy the company for $17 billion dollars, which was turned down because the company believed they were worth more. The company’s stock took a sharp dive after that because investors were not pleased with the decision.

The acquisition debacle concluded with the firm being acquired by a consortium of private equity firms for $10 billion dollars, which is far below the previous offer.

How can that be?

…But goes to show how much investors can humble you.

The investor group was led by Permira and Hellman & Friedman. The company was bought at $77.50 per share, which was 34% higher than closing price the day before the deal was closed.

Zendesk’s stock value rose by about 27% after news of the acquisition became public. Once the particulars of the deal are finalized, the investor group plans to take the company private.

The vote to close the deal was unanimous with Zendesk’s board and it is expected to be finalized in the fourth quarter of 2022.

…a ray of sunshine, I guess.

The Kellogg Split

Cereal giant, Kelloggs, announced that the company has decided to separate its North American cereal and plant-based foods businesses into three independent public companies.

Pending naming ceremonies , the three companies are:

  • “Plant Co.”: with ~$340 million in net sales, will be a leading, profitable, pure-play plant-based foods company;
  • “Global Snacking Co.”: with about $11.4 billion in net sales, will be a leading company in global snacking, international cereal, and noodles;
  • “North America Cereal Co.”: with about $2.4 billion in net sales, will be a leading cereal company in the U.S., Canada, and the Caribbean.

Why Split?

Kellogg isn’t the first company to do this — it has become a trend for consumer goods, especially because these companies faced unexpected challenges in the last two years (The COVID-19 pandemic and the Russian-Ukraine conflict). It is, arguably, a way for them to find new opportunities for increased growth and profit in the decelerated economies.

Another (surprising) reason is that cereal brands aren’t top breakfast choices anymore. Strange, isn’t it? Yup, these days people are leaning towards junk food, fast food or breakfast-on-the-go options.

So, What Does It Mean For Investors?

Luckily, Kelloggs has you in mind. So Kellogg stocks will split, but if you invested in the company before this split, you will receive your new shares on a pro-rata basis (Note: On a pro rata basis means assigning an amount to each person according to their share of the whole), essentially depending on your holdings.

Oh! There’s one more thing you should expect as a Kellogg investor. Kellogg is thinking of selling off the Plant Co. Fingers crossed that this is in fact beneficial to the company & shareholders.

Well See Reality Show GIF by NETFLIX

Before we go… we gotta highlight the big news of the week!

Is Jeff Giving Jumia and Konga A Run For Their Money?

We’ve all heard that tech giant, Amazon, is set to expand to five new countries across Europe, Africa, and South America …and apparently, rumors have it that the company has been silently recruiting engineers and salespersons in Lagos, hinting at an expansion even though no official statement has been released yet.

Interested GIF by reactionseditor

Dubbed “Project Fela” (I appreciate the creativity NGL), the expansion is set to roll out in Nigeria in April 2023, giving the long-term players (Jumia and Konga) a run for their money. I’m almost certain that the CEOs of both companies are sweating or maybe hyperventilating right now (and to be honest, I get it)

For Jeff Bezos’s found company, expanding to more countries may seem like a move in the right direction… some have succeeded at this type of expansion in the past.. and others have taken a hit.. so Amazon’s fate is yet to be determined.

I bet the company is excited about robust & budding e-commerce industry in Nigeria and it does create jobs opportunities for Nigerians but there are so many other grey areas that business owners, founders, regulators etc… could be assessing with such a move.

But… until we get an official statement from the wildly successful company, we’d have to hold our breath to see how things unfold. Best believe, your dearest Tomi from Trove has got you covered once we hear more.

*fingers crossed*

What do you think about Jeff’s company penetrating these new countries?

Tweet at me: @trovefinance

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From me to you…

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Your dearest and favorite Stocks Market Gist Partner,

Tomi, From Trove 


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