AMP Limited (AMP):
AMP chairman David Murray has said the sale of the embattled firm’s life insurance arm would make it more attractive to a potential acquirer, as he declined to comment on a possible $7 billion-plus tilt by Macquarie Group. AMP’s shares rebounded 6.9 per cent to $2.64 yesterday after The Australian’s DataRoom column revealed Macquarie was running the numbers on a potential offer for the wealth group. This followed a 7 per cent share price rise on Wednesday. Sources said the asset manager and investment banking group’s interest in AMP was reignited last week around the time its shares sank to a record intraday low of $2.28. “What we’ve said is absolutely true, that the complexity that this (life insurance sale) takes out of AMP is very substantial. To decouple that from the rest of the businesses makes life much simpler for us to design the future,” Mr. Murray told the Ticky program on the Your Money network last night.
Austal Limited (ASB):
An unknown offender has targeted ASX-listed shipbuilder Austal, who makes defence vessels for several markets, including the U.S. Austal released a statement today that confirmed the breach, which affected the company’s data management systems, and said it did not compromise classified or sensitive information. The offender attempted to sell the stolen materials, including staff email addresses and mobile numbers, over the internet to threaten the company. Austal has reiterated that the company will not engage in such threats. “There is no evidence to date to suggest that information affecting national security, nor the commercial operations of the company have been stolen,” Austal said in their statement
Capilano Honey Ltd (CZZ):
The private equity consortium led by Australian-Chinese private equity fund Wattle Hill, led by Mr. Tse, and ROC Partners investment fund, backed by Australian superannuation groups, could be about to sweeten their $190 million takeover bid for the nation’s biggest honey producer Capilano Honey. Capilano Honey this morning asked the ASX to place a trading halt on its shares, saying in a brief statement that the halt was requested; ending a “material announcement” in relation to potential changes to the terms proposed by the bidders. The trading halt will last until Tuesday. The private equity bidders had lobbed a bid of $20.06 per share for control of Capilano Honey in August with one of the honey maker’s biggest shareholders, billionaire Kerry Stokes, signaling his acceptance of the deal and to transfer his ownership into a new unlisted vehicle. However, it looks like a bidding war could be rowing with dairy group Bega Cheese soon afterwards launching a raid on the Capilano Honey share register to grab an 8.4 per cent stake and has since built up that holding to 15.59 per cent.
CSR Limited (CSR):
Building products supplier CSR has flagged a full-year profit in line with analyst forecasts as it delivered a net profit after tax down 77 per cent on the prior year to $26.8 million for the first half. That figure included $67.2m in significant items, primarily relating to a non-cash impairment of the carrying value of the company’s Viridian glass operations. Before significant items, net profit fell 31 per cent to $94m for the half year through September 30. The company declared a fully-franked interim dividend of 13 cents a share, slightly down from last year’s interim dividend of 13.5c. CSR said today that its full-year net profit after tax and before significant items is expected to be within the current range of analysts’ forecasts of between $180m and $205m. “During the last few years, we have capitalised on the strength in the housing market and invested in our operations to ensure that our cost structure and operational footprint adapts to changing market conditions,” managing director Rob Sindel said.
Greencross Limited (GXL):
Shares in Greencross have been halted this morning, pending a potential takeover. In a note to the market the veterinary and pet services chain said it was in discussions regarding a potential acquisition of 100pc of the issued shares of the company. “Owing to the state of negotiations, the precise timing of any announcement is uncertain, but GXL will keep the market informed as discussions progress,” it said. Shares are halted until Tuesday November 6, last traded at $4.54. At the company’s AGM today, it said strong sales momentum had continued into the new year, with 7.5pc top line growth and 4.9pc like-for-like sales growth.
Invictus Energy Ltd (IVZ):
Oil and gas deposits have been found in northern Zimbabwe by Australian company Invictus Energy, Zimbabwe President Emmerson Mnangagwa says. The president said Zimbabwe’s government has worked with Invictus Energy over the past few months to undertake exploration studies. “We have since been advised by Invictus that the findings are positive and point to oil and gas deposits in this area,” he said, referring to the district of Muzarabani. Invictus plans to sink an exploration well by 2020 and then pursue a “commercial exploitation of the resource”, Mnangagwa said. Zimbabwe is during an economic crisis, which has seen fuel queues and hard currency shortages.
Macquarie Group Ltd (MQG):
Macquarie Group has delivered a lift in interim profit to $1.3 billion and provided upbeat guidance for its full-year result to beat last year’s record result by 10 per cent. The earnings release also outlined a series of executive changes including the appointment of Martin Stanley to lead its largest division, asset management. The interim net profit result was up 5 per cent on the same time last year and was buoyed by Macquarie’s divisions that are leveraged to financial markets. It was in line with what analysts were expecting for the six months ended September 30. Operating income climbed 8 per cent to $5.8 billion, compared to the same six-month period a year ago, the Sydney-based company said in an ASX statement on Friday. Incoming chief executive Shemara Wikramanayake, who takes the reins in December from Nicholas Moore, said Macquarie remained “well positioned to deliver superior performance” in the medium term as she pointed to an annual result that is expected to print 10 per cent higher than last year’s $2.56 billion record. Macquarie also signaled that it has no intention to start a previously announced $1 billion share buyback, which suggests it plans to deploy capital in other areas including acquisitions. The Australian this week revealed that Macquarie was running the numbers on a $7 billion-plus tilt at troubled wealth group AMP.
Myob Group Limited (MYO):
Accounting software company MYOB has granted information access to private equity firm KKR, to enable it to progress its $2.2 billion takeover proposal. KKR already owns 20 per cent of MYOB and has offered $3.70 apiece for the remainder of the company’s shares. Shares in the company closed at $3.36 yesterday. MYOB said this morning that an independent board committee had been formed following the receipt of the proposal. That committee included Justin Milne and including Anne Ward, Andrew Stevens and Fiona Pak-Poy. “The independent board committee will continue to assess and evaluate developments in relation to the KKR proposal,” MYOB told the market this morning. The MYOB board notes that there is no certainty that the proposal will result in an offer for MYOB.
Orica Ltd (ORI):
Explosives maker Orica’s annual net profit has slumped by 16 per cent after suffering ongoing operational issues at its Burrup plant although it expects a lift in earnings in 2019 on improved demand in the mining market. Orica said underlying net profit for the year through September slipped to $324.2 million from $386.2m while the closely watched earnings before interest and tax fell 3 per cent to $618.1m from $635.1m. The earnings performance was marred by unplanned maintenance shutdowns at Yarwun and Kooragang Island, operational issues at the Burrup plant and the partial loss of a customer contract in Latin America. Production from the Burrup plant will be delayed until the first half of the 2020 financial year compared with earlier expectations it would be back online in September 2018. Ongoing technical issues at Burrup include the replacement of heat exchangers and an absorption tower which will now be installed in the second half of the 2019 calendar year. The company will pay a final dividend of 31.5 cents a share for a full-year payout of MQG51.5c, flat on the year before.
Star Entertainment Group Ltd (SGR):
The Star Entertainment Group has been given the green light by the Queensland government on its expanded masterplan for the Gold Coast, clearing the way to develop up to four additional mixed-use towers at its existing site. The company told the market today that the potential development of additional mixed-use towers at The Star Gold Coast would be done by The Star and its joint venture partners Chow Tai Fook and Far East Consortium. The joint venture partners have already invested in developments on the Gold Coast and the extra towers could take their investment in the region to more than $2bn. The approval allows for towers with permitted maximum heights of 52 to 74 stories and an eight-story podium to be developed on the site. The towers and podium comprise a mixture of hotel rooms and apartment accommodations along with various retail, food and beverage, car parking and entertainment areas. A maximum of 2,200 apartments are permitted to be developed on the site under the approvals received.
(Source: AIMS)
AMP chairman David Murray has said the sale of the embattled firm’s life insurance arm would make it more attractive to a potential acquirer, as he declined to comment on a possible $7 billion-plus tilt by Macquarie Group. AMP’s shares rebounded 6.9 per cent to $2.64 yesterday after The Australian’s DataRoom column revealed Macquarie was running the numbers on a potential offer for the wealth group. This followed a 7 per cent share price rise on Wednesday. Sources said the asset manager and investment banking group’s interest in AMP was reignited last week around the time its shares sank to a record intraday low of $2.28. “What we’ve said is absolutely true, that the complexity that this (life insurance sale) takes out of AMP is very substantial. To decouple that from the rest of the businesses makes life much simpler for us to design the future,” Mr. Murray told the Ticky program on the Your Money network last night.
Austal Limited (ASB):
An unknown offender has targeted ASX-listed shipbuilder Austal, who makes defence vessels for several markets, including the U.S. Austal released a statement today that confirmed the breach, which affected the company’s data management systems, and said it did not compromise classified or sensitive information. The offender attempted to sell the stolen materials, including staff email addresses and mobile numbers, over the internet to threaten the company. Austal has reiterated that the company will not engage in such threats. “There is no evidence to date to suggest that information affecting national security, nor the commercial operations of the company have been stolen,” Austal said in their statement
Capilano Honey Ltd (CZZ):
The private equity consortium led by Australian-Chinese private equity fund Wattle Hill, led by Mr. Tse, and ROC Partners investment fund, backed by Australian superannuation groups, could be about to sweeten their $190 million takeover bid for the nation’s biggest honey producer Capilano Honey. Capilano Honey this morning asked the ASX to place a trading halt on its shares, saying in a brief statement that the halt was requested; ending a “material announcement” in relation to potential changes to the terms proposed by the bidders. The trading halt will last until Tuesday. The private equity bidders had lobbed a bid of $20.06 per share for control of Capilano Honey in August with one of the honey maker’s biggest shareholders, billionaire Kerry Stokes, signaling his acceptance of the deal and to transfer his ownership into a new unlisted vehicle. However, it looks like a bidding war could be rowing with dairy group Bega Cheese soon afterwards launching a raid on the Capilano Honey share register to grab an 8.4 per cent stake and has since built up that holding to 15.59 per cent.
CSR Limited (CSR):
Building products supplier CSR has flagged a full-year profit in line with analyst forecasts as it delivered a net profit after tax down 77 per cent on the prior year to $26.8 million for the first half. That figure included $67.2m in significant items, primarily relating to a non-cash impairment of the carrying value of the company’s Viridian glass operations. Before significant items, net profit fell 31 per cent to $94m for the half year through September 30. The company declared a fully-franked interim dividend of 13 cents a share, slightly down from last year’s interim dividend of 13.5c. CSR said today that its full-year net profit after tax and before significant items is expected to be within the current range of analysts’ forecasts of between $180m and $205m. “During the last few years, we have capitalised on the strength in the housing market and invested in our operations to ensure that our cost structure and operational footprint adapts to changing market conditions,” managing director Rob Sindel said.
Greencross Limited (GXL):
Shares in Greencross have been halted this morning, pending a potential takeover. In a note to the market the veterinary and pet services chain said it was in discussions regarding a potential acquisition of 100pc of the issued shares of the company. “Owing to the state of negotiations, the precise timing of any announcement is uncertain, but GXL will keep the market informed as discussions progress,” it said. Shares are halted until Tuesday November 6, last traded at $4.54. At the company’s AGM today, it said strong sales momentum had continued into the new year, with 7.5pc top line growth and 4.9pc like-for-like sales growth.
Invictus Energy Ltd (IVZ):
Oil and gas deposits have been found in northern Zimbabwe by Australian company Invictus Energy, Zimbabwe President Emmerson Mnangagwa says. The president said Zimbabwe’s government has worked with Invictus Energy over the past few months to undertake exploration studies. “We have since been advised by Invictus that the findings are positive and point to oil and gas deposits in this area,” he said, referring to the district of Muzarabani. Invictus plans to sink an exploration well by 2020 and then pursue a “commercial exploitation of the resource”, Mnangagwa said. Zimbabwe is during an economic crisis, which has seen fuel queues and hard currency shortages.
Macquarie Group Ltd (MQG):
Macquarie Group has delivered a lift in interim profit to $1.3 billion and provided upbeat guidance for its full-year result to beat last year’s record result by 10 per cent. The earnings release also outlined a series of executive changes including the appointment of Martin Stanley to lead its largest division, asset management. The interim net profit result was up 5 per cent on the same time last year and was buoyed by Macquarie’s divisions that are leveraged to financial markets. It was in line with what analysts were expecting for the six months ended September 30. Operating income climbed 8 per cent to $5.8 billion, compared to the same six-month period a year ago, the Sydney-based company said in an ASX statement on Friday. Incoming chief executive Shemara Wikramanayake, who takes the reins in December from Nicholas Moore, said Macquarie remained “well positioned to deliver superior performance” in the medium term as she pointed to an annual result that is expected to print 10 per cent higher than last year’s $2.56 billion record. Macquarie also signaled that it has no intention to start a previously announced $1 billion share buyback, which suggests it plans to deploy capital in other areas including acquisitions. The Australian this week revealed that Macquarie was running the numbers on a $7 billion-plus tilt at troubled wealth group AMP.
Myob Group Limited (MYO):
Accounting software company MYOB has granted information access to private equity firm KKR, to enable it to progress its $2.2 billion takeover proposal. KKR already owns 20 per cent of MYOB and has offered $3.70 apiece for the remainder of the company’s shares. Shares in the company closed at $3.36 yesterday. MYOB said this morning that an independent board committee had been formed following the receipt of the proposal. That committee included Justin Milne and including Anne Ward, Andrew Stevens and Fiona Pak-Poy. “The independent board committee will continue to assess and evaluate developments in relation to the KKR proposal,” MYOB told the market this morning. The MYOB board notes that there is no certainty that the proposal will result in an offer for MYOB.
Orica Ltd (ORI):
Explosives maker Orica’s annual net profit has slumped by 16 per cent after suffering ongoing operational issues at its Burrup plant although it expects a lift in earnings in 2019 on improved demand in the mining market. Orica said underlying net profit for the year through September slipped to $324.2 million from $386.2m while the closely watched earnings before interest and tax fell 3 per cent to $618.1m from $635.1m. The earnings performance was marred by unplanned maintenance shutdowns at Yarwun and Kooragang Island, operational issues at the Burrup plant and the partial loss of a customer contract in Latin America. Production from the Burrup plant will be delayed until the first half of the 2020 financial year compared with earlier expectations it would be back online in September 2018. Ongoing technical issues at Burrup include the replacement of heat exchangers and an absorption tower which will now be installed in the second half of the 2019 calendar year. The company will pay a final dividend of 31.5 cents a share for a full-year payout of MQG51.5c, flat on the year before.
Star Entertainment Group Ltd (SGR):
The Star Entertainment Group has been given the green light by the Queensland government on its expanded masterplan for the Gold Coast, clearing the way to develop up to four additional mixed-use towers at its existing site. The company told the market today that the potential development of additional mixed-use towers at The Star Gold Coast would be done by The Star and its joint venture partners Chow Tai Fook and Far East Consortium. The joint venture partners have already invested in developments on the Gold Coast and the extra towers could take their investment in the region to more than $2bn. The approval allows for towers with permitted maximum heights of 52 to 74 stories and an eight-story podium to be developed on the site. The towers and podium comprise a mixture of hotel rooms and apartment accommodations along with various retail, food and beverage, car parking and entertainment areas. A maximum of 2,200 apartments are permitted to be developed on the site under the approvals received.
(Source: AIMS)
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