Coles Group Ltd (COL):
Financial Review rich listers Andrew and Michael Buxton have signed up Coles to anchor the $40 million first stage of a new regional shopping centre at Merrifield in Melbourne's north. The supermarket group, along with 20 speciality retailers, will occupy 7000 square metres of retail space in what will eventually become a major city centre with more than 200,000 square metres of retail space within a 30-hectare precinct. Merrifield, a joint venture between the Buxton brothers' MAB Corp and Gibson Property Corporation, is the largest development project in Melbourne. The 900-hectare master-planned estate, 45 kilometres from the Melbourne CBD, will eventually accommodate 8000 homes, a 300-hectare business park and a 140-hectare city centre. The regional shopping centre within Merrifield is a joint venture between MAB/Gibson and QIC Global Real Estate (QICGRE), the Queensland government-owned investment corporation.
Gale Pacific Ltd (GAP):
Maker of Coolaroo shade cloths and blinds, GALE Pacific has cut its earnings guidance blaming cooler weather conditions in Australia through November and December. At its AGM in November, the company had told investors it expected “first half earnings for the 2018/19 year to be above those for the prior year”. “Consistent with prior periods, the second half result is anticipated to be considerably more profitable than the first half,” it said. “The Company remains confident in delivering earnings per share growth for the 2019 financial year.” In an update to the market, it said expectations for half year earnings to December 2018 would be between $1.25 million to $1.35m, compared to $1.73m for the previous corresponding period. It said its full year outlook was buoyed by anticipation of strong growth in the Americas region, where it has partnered with retainers Home Depot and Lowes.
National Australia Bank Ltd (NAB):
National Australia Bank has filled a longstanding vacancy by tapping former Malcolm Turnbull and Mike Baird adviser Philippa King for a government affairs post. A NAB spokeswoman confirmed the appointment and said: “Philippa has significant experience and demonstrated capability in domestic and inter-national policy and political environments, having worked under Coalition and ALP governments and navigating a range of complicated and sensitive issues. But several industry executives canvassed by The Australian questioned why NAB would appoint someone with no financial services experience to the government affairs post, given 2019 will see banks deal with immense policy complexity and formulate a response to the sweeping Hayne royal commission. The hire comes at a crucial time for the sector and its relationship with government and other policymakers. Two of the big four banks have already sought out appointments with clearer ties to the Labor Party ahead of a federal election this year and the keenly anticipated Hayne royal commission final report.
Noni B Ltd (NBL):
Shares in Noni B shot up 10 per cent today after the fashion retailer said it was confident about the remainder of the financial year and flagged a bumper first-half due to improved efficiency following its acquisition of five retail brands from Specialty Fashion early last year. In a trading update on Thursday, the retailer said it expected to post first-half earnings of approximately $29 million, compared to $22.1m for the first-half a year prior. For the six months through December, total sales grew 140 per cent to $457m, due to the acquisition of the Crossroads, Autograph, Millers, Katies and Rivers retail brands from Specialty Fashion. A strong Christmas trading period resulted in a 1 per cent like-for-like sales growth for December, which improved the company’s like-for-like sales growth for the first-half. Still, Noni B said it expects its full-year earnings before interest, tax, depreciation and amortisation to be about $45m, in line with consensus estimates.
Telstra Corporation Ltd (TLS):
Telstra has landed exclusive partnerships for its 5G network, announcing in Las Vegas that some of the world’s biggest brands will offer their 5G-compatible devices solely with the telco later this year. Speaking to The Australian at CES, the world’s biggest consumer technology show, Telstra CEO Andy Penn said the telco used its close, longstanding relationships with device manufacturers to land the deals. Telstra has invested heavily in 5G spectrum and network technology. The new generation is expected to deliver speeds far superior to those of 4G, as well as lower latency for applications such as agriculture connectivity and competitive gaming.
Woolworth Group Ltd (WOW):
Supermarket giant Woolworths has sold a Geraldton mall in regional Western Australia to acquisitive fund manager MPG for $14.8 million. The Seacrest Shopping Centre, which opened in August 2017, offers 4713 square metres of retail space and is anchored by a Woolworths supermarket with seven additional tenancies and a stand-alone medical centre. The sale is part of a divestment of real estate assets by both Woolworths and arch-rival Coles as they look to take advantage of strong investor appetite for non-discretionary retail property and reinvest the proceeds into enhancing their consumer offering. In October last year, Woolworths sold a neighbourhood shopping centre in Perth's outer northern suburbs for $27 million to a private investor on a yield of 5.8 per cent while last month Coles sold a mall in Melbourne's north for $45 million to a Chinese investor on a yield of 5.6 per cent.
(Source: AIMS)
Financial Review rich listers Andrew and Michael Buxton have signed up Coles to anchor the $40 million first stage of a new regional shopping centre at Merrifield in Melbourne's north. The supermarket group, along with 20 speciality retailers, will occupy 7000 square metres of retail space in what will eventually become a major city centre with more than 200,000 square metres of retail space within a 30-hectare precinct. Merrifield, a joint venture between the Buxton brothers' MAB Corp and Gibson Property Corporation, is the largest development project in Melbourne. The 900-hectare master-planned estate, 45 kilometres from the Melbourne CBD, will eventually accommodate 8000 homes, a 300-hectare business park and a 140-hectare city centre. The regional shopping centre within Merrifield is a joint venture between MAB/Gibson and QIC Global Real Estate (QICGRE), the Queensland government-owned investment corporation.
Gale Pacific Ltd (GAP):
Maker of Coolaroo shade cloths and blinds, GALE Pacific has cut its earnings guidance blaming cooler weather conditions in Australia through November and December. At its AGM in November, the company had told investors it expected “first half earnings for the 2018/19 year to be above those for the prior year”. “Consistent with prior periods, the second half result is anticipated to be considerably more profitable than the first half,” it said. “The Company remains confident in delivering earnings per share growth for the 2019 financial year.” In an update to the market, it said expectations for half year earnings to December 2018 would be between $1.25 million to $1.35m, compared to $1.73m for the previous corresponding period. It said its full year outlook was buoyed by anticipation of strong growth in the Americas region, where it has partnered with retainers Home Depot and Lowes.
National Australia Bank Ltd (NAB):
National Australia Bank has filled a longstanding vacancy by tapping former Malcolm Turnbull and Mike Baird adviser Philippa King for a government affairs post. A NAB spokeswoman confirmed the appointment and said: “Philippa has significant experience and demonstrated capability in domestic and inter-national policy and political environments, having worked under Coalition and ALP governments and navigating a range of complicated and sensitive issues. But several industry executives canvassed by The Australian questioned why NAB would appoint someone with no financial services experience to the government affairs post, given 2019 will see banks deal with immense policy complexity and formulate a response to the sweeping Hayne royal commission. The hire comes at a crucial time for the sector and its relationship with government and other policymakers. Two of the big four banks have already sought out appointments with clearer ties to the Labor Party ahead of a federal election this year and the keenly anticipated Hayne royal commission final report.
Noni B Ltd (NBL):
Shares in Noni B shot up 10 per cent today after the fashion retailer said it was confident about the remainder of the financial year and flagged a bumper first-half due to improved efficiency following its acquisition of five retail brands from Specialty Fashion early last year. In a trading update on Thursday, the retailer said it expected to post first-half earnings of approximately $29 million, compared to $22.1m for the first-half a year prior. For the six months through December, total sales grew 140 per cent to $457m, due to the acquisition of the Crossroads, Autograph, Millers, Katies and Rivers retail brands from Specialty Fashion. A strong Christmas trading period resulted in a 1 per cent like-for-like sales growth for December, which improved the company’s like-for-like sales growth for the first-half. Still, Noni B said it expects its full-year earnings before interest, tax, depreciation and amortisation to be about $45m, in line with consensus estimates.
Telstra Corporation Ltd (TLS):
Telstra has landed exclusive partnerships for its 5G network, announcing in Las Vegas that some of the world’s biggest brands will offer their 5G-compatible devices solely with the telco later this year. Speaking to The Australian at CES, the world’s biggest consumer technology show, Telstra CEO Andy Penn said the telco used its close, longstanding relationships with device manufacturers to land the deals. Telstra has invested heavily in 5G spectrum and network technology. The new generation is expected to deliver speeds far superior to those of 4G, as well as lower latency for applications such as agriculture connectivity and competitive gaming.
Woolworth Group Ltd (WOW):
Supermarket giant Woolworths has sold a Geraldton mall in regional Western Australia to acquisitive fund manager MPG for $14.8 million. The Seacrest Shopping Centre, which opened in August 2017, offers 4713 square metres of retail space and is anchored by a Woolworths supermarket with seven additional tenancies and a stand-alone medical centre. The sale is part of a divestment of real estate assets by both Woolworths and arch-rival Coles as they look to take advantage of strong investor appetite for non-discretionary retail property and reinvest the proceeds into enhancing their consumer offering. In October last year, Woolworths sold a neighbourhood shopping centre in Perth's outer northern suburbs for $27 million to a private investor on a yield of 5.8 per cent while last month Coles sold a mall in Melbourne's north for $45 million to a Chinese investor on a yield of 5.6 per cent.
(Source: AIMS)
Latest comments