Atlas Iron Limited (AGO):
Atlas Iron has shed light on its shaky hold on prized berth space in Port Hedland in recommending that shareholders take Gina Rinehart’s money and run. In a Target’s Statement issued on Monday, Atlas directors urged shareholders to embrace the $390 million all-cash Redstone offer funded by Mrs Rinehart’s Hancock Prospecting. Rinehart-controlled entities pushed their shareholding to almost 21 per cent last week with Andrew Forrest’s Fortescue Metals Group holding a 19.9 per cent stake as the Perth billionaires continue to face off over Atlas. Fortescue has yet to declare its intentions in relation to the Atlas bid, but could play a spoiler role under one of the scenarios outlined in the Target’s Statement. Atlas warned that a stand-off between Redstone and the second largest shareholder could lead to a breach of Atlas’ loan covenants. The junior iron ore miner is already in dire financial straits, suffering an operating loss of $6 million in the June quarter, its cash reserves down to $57 million and $85 million outstanding on its term loan.
Bingo Industries Ltd (BIN):
Bingo Industries has affirmed its guidance for pro-forma FY18 EBITDA profit of $93 million and scotched talk of a selldown by the Tartak family after the end of the voluntary escrow period in August. “In response to this speculation, the Tartak family, who in aggregate have a ~30% shareholding (including CEO Daniel Tartak’s holding of about 17 per cent), has communicated to Bingo that they have no intention to sell down their shareholding following release from escrow,” the company says in a statement. “The Tartak family’s decision not to sell reflects their strong commitment to Bingo and their view that the long-term outlook for the Company and the industry remains favourable, including the expected positive impact on Bingo from the impending introduction of a Queensland waste levy, expected to be legislated in early 2019. BIN shares fell as much as 4.7pc to a 5-month low of $2.41 in early trading. Last down 26pc at $2.53.
BWX Ltd (BWX):
BWX's own legal representation has confirmed that the owner of Sukin skincare was exploring an alternative corporate structure in January of this year, up to five months before BWX told the market it received an "unsolicited" proposal in the form of a management buyout now before the board. In the ongoing US legal dispute between BWX and its former adviser, Waterloo Capital Partners, BWX management has been accused of actively developing a previously undisclosed private equity strategy that would mimic BWX and, it is further claimed, enrich its backers. The dispute itself is over unpaid success fees, where Waterloo is seeking $US10 million in damages by arguing it had a hand in conceiving the strategy behind the management buyout offer now before BWX's independent board and amounting to a "joint venture" in Waterloo's view. Shares of BWX closed at $5.45 on Monday, up 3¢, compared to the offer price of $6.60 cash or a scrip alternative being 75 per cent shares and 25 per cent cash.
Cooper Energy Ltd (COE):
Emerging east coast gas supplier Cooper Energy has signalled an up to fivefold production increase in 2019-20 after its $355 million Sole project comes online off the Victorian coast and it taps into the tight market that has seen industrial customers scrambling for supply. Managing director David Maxwell said output by the junior should rise to about 6 million barrels of oil equivalent in the 2020 financial year, representing an increase of ‘‘between four and five’’ times current levels. The forecast came as Cooper reported that construction of the Sole project is approaching 60 per cent complete and is on track to start commercial deliveries to customers, including AGL Energy and EnergyAustralia, in July 2019. Cooper is also expecting higher gas prices from a tender process it is running for the purchase of gas from its Casino Henry venture off the coast of western Victoria for 2019, a region where it is also looking to increase production through more drilling. Cooper Energy shares, which have jumped 29 per cent this year as investors latch on to the company’s east coast gas strategy, added as much as 2¢ in early trading to reach 43¢, their highest for almost four years. The company now has a market value of about $665 million. R
Kleos Space:
A Luxembourg-based satellite technology start-up, which claims to help defence forces track down criminals at sea, from pirates to illegal fishermen, is expected to finalise an $11 million capital raise early this week and list on the ASX on July 27. Kleos Space, which is a spinout of UK space technology company Magna Parva, has developed a system of shoebox sized satellites that will give governments the ability to track ships used by drug and people smugglers, terrorists, pirates, illegal fishermen and those in need of search and rescue. Space engineers Andy Bowyer and Miles Ashcroft launched the business in Luxembourg because, like Australia, it was establishing its own space agency and invested €2 million in its research and development. Kleos Space will be valued at $28 million when it lists.
National Australia Bank Ltd (NAB) & MLC Limited:
Former Perpetual boss Geoff Lloyd has been appointed head of MLC ahead of a possible spin-off of the wealth management business by the National Australia Bank. NAB is considering ways to separate its asset management, superannuation and platform business, along with the MLC brand name. NAB said in May it planned to demerge or float MLC, but would also consider a trade sale as it returns its focus to traditional retail banking. Mr Lloyd will join MLC in September after six years as CEO of Perpetual, and will report directly to NAB chief Andrew Thorburn. “Geoff is a standout leader and the right person to lead through the transaction, establish a new stand-alone business and build it for the future,” Mr Thorburn said. NAB is keeping its private banking arm, including JB Were. The decision by NAB followed moves by ANZ and the Commonwealth Bank to offload their wealth management businesses.
Rio Tinto Limited (RIO):
Rio Tinto shipped nine per cent more iron ore from its Australian mines in the first half of 2018, and said it expects full-year shipments at the high end of an earlier projection. The Anglo-Australian mining company (RIO) said 168.8 million tonnes of the steelmaking commodity was exported from its operations in Australia’s remote Pilbara mining region during the first six months of the year. It forecast 2018 shipments from its Australian mines to be in the upper end of an existing target of 330-340 million tonnes. Rio Tinto also reported a 7 per cent increase in half-year bauxite production to 25.9 million tonnes and a 42 per cent jump in mined copper output to 296,100 tonnes. Aluminium output was down 4 per cent on a year ago, at 1.7 million tonnes.
Vintage Energy:
Terms are out for Eastern Australia gas hopeful Vintage Energy's planned initial public offering. The company is seeking to raise $50 million at 20¢ a share via stockbrokers RBC Capital Markets and Taylor Collison. The offer values Vintage Energy at $72.8 million on a market capitalisation basis and would see the company list on the ASX on September 6, if successful. It is understood Vintage Energy started meeting fund managers for the IPO on Monday. Its brokers will seek to rule off the raising at a bookbuild on July 31, according to terms sent to potential investors.
(Source: AIMS)
Atlas Iron has shed light on its shaky hold on prized berth space in Port Hedland in recommending that shareholders take Gina Rinehart’s money and run. In a Target’s Statement issued on Monday, Atlas directors urged shareholders to embrace the $390 million all-cash Redstone offer funded by Mrs Rinehart’s Hancock Prospecting. Rinehart-controlled entities pushed their shareholding to almost 21 per cent last week with Andrew Forrest’s Fortescue Metals Group holding a 19.9 per cent stake as the Perth billionaires continue to face off over Atlas. Fortescue has yet to declare its intentions in relation to the Atlas bid, but could play a spoiler role under one of the scenarios outlined in the Target’s Statement. Atlas warned that a stand-off between Redstone and the second largest shareholder could lead to a breach of Atlas’ loan covenants. The junior iron ore miner is already in dire financial straits, suffering an operating loss of $6 million in the June quarter, its cash reserves down to $57 million and $85 million outstanding on its term loan.
Bingo Industries Ltd (BIN):
Bingo Industries has affirmed its guidance for pro-forma FY18 EBITDA profit of $93 million and scotched talk of a selldown by the Tartak family after the end of the voluntary escrow period in August. “In response to this speculation, the Tartak family, who in aggregate have a ~30% shareholding (including CEO Daniel Tartak’s holding of about 17 per cent), has communicated to Bingo that they have no intention to sell down their shareholding following release from escrow,” the company says in a statement. “The Tartak family’s decision not to sell reflects their strong commitment to Bingo and their view that the long-term outlook for the Company and the industry remains favourable, including the expected positive impact on Bingo from the impending introduction of a Queensland waste levy, expected to be legislated in early 2019. BIN shares fell as much as 4.7pc to a 5-month low of $2.41 in early trading. Last down 26pc at $2.53.
BWX Ltd (BWX):
BWX's own legal representation has confirmed that the owner of Sukin skincare was exploring an alternative corporate structure in January of this year, up to five months before BWX told the market it received an "unsolicited" proposal in the form of a management buyout now before the board. In the ongoing US legal dispute between BWX and its former adviser, Waterloo Capital Partners, BWX management has been accused of actively developing a previously undisclosed private equity strategy that would mimic BWX and, it is further claimed, enrich its backers. The dispute itself is over unpaid success fees, where Waterloo is seeking $US10 million in damages by arguing it had a hand in conceiving the strategy behind the management buyout offer now before BWX's independent board and amounting to a "joint venture" in Waterloo's view. Shares of BWX closed at $5.45 on Monday, up 3¢, compared to the offer price of $6.60 cash or a scrip alternative being 75 per cent shares and 25 per cent cash.
Cooper Energy Ltd (COE):
Emerging east coast gas supplier Cooper Energy has signalled an up to fivefold production increase in 2019-20 after its $355 million Sole project comes online off the Victorian coast and it taps into the tight market that has seen industrial customers scrambling for supply. Managing director David Maxwell said output by the junior should rise to about 6 million barrels of oil equivalent in the 2020 financial year, representing an increase of ‘‘between four and five’’ times current levels. The forecast came as Cooper reported that construction of the Sole project is approaching 60 per cent complete and is on track to start commercial deliveries to customers, including AGL Energy and EnergyAustralia, in July 2019. Cooper is also expecting higher gas prices from a tender process it is running for the purchase of gas from its Casino Henry venture off the coast of western Victoria for 2019, a region where it is also looking to increase production through more drilling. Cooper Energy shares, which have jumped 29 per cent this year as investors latch on to the company’s east coast gas strategy, added as much as 2¢ in early trading to reach 43¢, their highest for almost four years. The company now has a market value of about $665 million. R
Kleos Space:
A Luxembourg-based satellite technology start-up, which claims to help defence forces track down criminals at sea, from pirates to illegal fishermen, is expected to finalise an $11 million capital raise early this week and list on the ASX on July 27. Kleos Space, which is a spinout of UK space technology company Magna Parva, has developed a system of shoebox sized satellites that will give governments the ability to track ships used by drug and people smugglers, terrorists, pirates, illegal fishermen and those in need of search and rescue. Space engineers Andy Bowyer and Miles Ashcroft launched the business in Luxembourg because, like Australia, it was establishing its own space agency and invested €2 million in its research and development. Kleos Space will be valued at $28 million when it lists.
National Australia Bank Ltd (NAB) & MLC Limited:
Former Perpetual boss Geoff Lloyd has been appointed head of MLC ahead of a possible spin-off of the wealth management business by the National Australia Bank. NAB is considering ways to separate its asset management, superannuation and platform business, along with the MLC brand name. NAB said in May it planned to demerge or float MLC, but would also consider a trade sale as it returns its focus to traditional retail banking. Mr Lloyd will join MLC in September after six years as CEO of Perpetual, and will report directly to NAB chief Andrew Thorburn. “Geoff is a standout leader and the right person to lead through the transaction, establish a new stand-alone business and build it for the future,” Mr Thorburn said. NAB is keeping its private banking arm, including JB Were. The decision by NAB followed moves by ANZ and the Commonwealth Bank to offload their wealth management businesses.
Rio Tinto Limited (RIO):
Rio Tinto shipped nine per cent more iron ore from its Australian mines in the first half of 2018, and said it expects full-year shipments at the high end of an earlier projection. The Anglo-Australian mining company (RIO) said 168.8 million tonnes of the steelmaking commodity was exported from its operations in Australia’s remote Pilbara mining region during the first six months of the year. It forecast 2018 shipments from its Australian mines to be in the upper end of an existing target of 330-340 million tonnes. Rio Tinto also reported a 7 per cent increase in half-year bauxite production to 25.9 million tonnes and a 42 per cent jump in mined copper output to 296,100 tonnes. Aluminium output was down 4 per cent on a year ago, at 1.7 million tonnes.
Vintage Energy:
Terms are out for Eastern Australia gas hopeful Vintage Energy's planned initial public offering. The company is seeking to raise $50 million at 20¢ a share via stockbrokers RBC Capital Markets and Taylor Collison. The offer values Vintage Energy at $72.8 million on a market capitalisation basis and would see the company list on the ASX on September 6, if successful. It is understood Vintage Energy started meeting fund managers for the IPO on Monday. Its brokers will seek to rule off the raising at a bookbuild on July 31, according to terms sent to potential investors.
(Source: AIMS)
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