Foreign affairs

The Russia-Georgia conflict might cast a pall over Russia’s increasing importance as both a source and destination for foreign investment, writes the New York Times’ DealBook.

One of the few brights spots in the world of leveraged buyouts this has been energy, according to DealJournal. But most of that activity takes places outside of the US, where energy deals are down significantly, though not as much as overall buyouts.

Investors have begun pulling money out of emerging markets, benefiting U.S. equity and bond funds, as commodities such as oil weaken, according to date from EPFR, writes the Financial Times’ Alphaville.

OTHER DEALS OF THE DAY
** Prokom Investments, Polish tycoon Ryszard Krauze’s investment vehicle, will sell insulin producer Bioton to a subsidiary of drugs maker Polpharma for 450 million zlotys ($202.7 million), Bioton said.

** German car parts maker Continental is prepared to drop opposition to hostile bidder Schaeffler and accept the ball-bearings maker as its controlling shareholder in an agreement that could be announced early next week.