Kagara Ltd (ASX:KZL) announced that a subsidiary of China's GFTG Shengtuo Metals Pty Ltd had increased its stake in the miner from 15% to 19.99 per cent, just beneath the threshold that triggers a formal takeover under Australia's Corporations Act. Kagara is expected to commence talks with potential joint venture partners for its Admiral Bay project in Western Australia.
Sydney, Aug 5, 2009 AEST (ABN Newswire) - US stocks traded slightly higher overnight with more buying in financials. Analysts expect there would be a short-term correction after the rally as investors lock in gains from a strong three-week rally.
The Australian shares yesterday rose on the positive lead in Wall Street and higher commodities prices. The recent strong market performance has increased investors' appetite for risk. At the close, the S&P/ASX 200 added 45.9 points, or 1.1 per cent, at 4309.3, while the broader All Ordinaries was up 43.4 points, or 1 per cent, to 4313.9.
Key Economic Facts and Figures
The Reserve Bank kept the official interest rate on hold for the fifth month at 3 per cent, in line with market expectation. But the central bank also tipped that the interest rate cutting cycle is over, as Australian economy is improving and the downside risks to the global economy has diminished.
Retail sales in Australia unexpectedly fell 1.4 per cent to a seasonally adjusted A$19.42 billion in June from A$19.70 billion in May, according to the Australian Bureau of Statistics.
Australian house prices rose 4.2 per cent in the second quarter, due to lower interest rates and government support for new home buyers.
The Australian Industry Group-Commonwealth Bank performance of services index (PSI) fell by 6.1 index points to 44.1 points in July, as sales and new orders weakened and firms ran down inventories. The key 50 points separates expansion from contraction.
Today the Australian Bureau of Statistics releases international trade data for June.
M&A News
Kagara Ltd (ASX:KZL) announced that a subsidiary of China's GFTG Shengtuo Metals Pty Ltd had increased its stake in the miner from 15% to 19.99 per cent, just beneath the threshold that triggers a formal takeover under Australia's Corporations Act. Kagara is expected to commence talks with potential joint venture partners for its Admiral Bay project in Western Australia.
Important Corporate News
BHP Billiton (ASX:BHP) has named former Ford Motor chief executive Jac Nasser as its new chairman to succeed Don Argus. Mr Argus will retire in early 2010.
AXA Asia Pacific Holdings (ASX:AXA) said its net profit rose 187 per cent to A$270.4 million for the six months to June 30 compared with a profit of A$94.2 million in the prior corresponding period. The company also said its long-term growth prospects remain strong, helped by its operations in Asia. Economies in many of these countries are likely to grow faster than world averages.
ING Office Fund (ASX:IOF) yesterday wrote down the value of its portfolio by A$454million or 12.4 per cent for the six months to June 30. The total value decline in the full year was 18 per cent. Its US assets recorded a 17.4 per cent drop in value, compared with 13.9 per cent in Australia and 4.5per cent in Europe.
David Jones (ASX:DJS) reported total sales revenue of A$512.3 million for the fourth quarter of the 2009 financial year being the period 26 April to 25 July. This represents 0.6% growth, compared to sales revenue of A$509.1 million in the corresponding period in FY08.
Hills Industries (ASX:HIL) posted a full-year profit fall of 41.6 per cent. Net profit fell to A$28.1 million for the 12 months to June 30 compared with A$48 million in the prior corresponding period. Hills also said it would raise up to A$50 million in a new share sale to institutions and retail investors.
Macquarie CountryWide Trust (ASX:MCW) has cut the value of its property portfolio by 8.9 per cent, or A$401 million, after revaluations of the assets. During the past 18 months A$2.33 billion in assets had been sold or were contracted to be sold.
Contact
Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net
| ||
|
