Investment company Guinness Peat Group (ASX:GPG)(LON:GPG) (NZE:GPG) said it will demerge its Australia business as its first step of a corporate restructure.
Sydney, June 16, 2010 AEST (ABN Newswire) - The Australian share market delivered a strong opening on Wednesday as Wall Street's rally overnight boosted confidence in local market. S&P/ASX200 index rose 1.4 per cent in early trade, driven by resources, industrial and financial stocks. The Australian shares yesterday closed slightly lower with light volumes while Asia markets were mostly flat.
In economic data today, the Australian Bureau of Statistics is due to release dwelling unit commencements data for March, and Westpac and the Melbourne Institute release their Indexes of Economic Activity.
Company News
Investment company Guinness Peat Group (
ASX:GPG)(LON:GPG) (NZE:GPG) said it will demerge its Australia business as its first step of a corporate restructure. GPG Australia will be listed on ASX and NZX and retain the group's traditional investment approach. In addition to the separation of the investment portfolios on a geographical basis, cash and liabilities will be allocated between the two entities prior to the demerger. GPG Plc intends to retain around 20 per cent of GPG Australia. GPG Plc will retain the UK and New Zealand investment portfolio and be listed on the LSE and NZX. Guinness Peat Group subsidiary Coates Group is also anticipated to be floated within the next two years.
Australia-based packaging company Amcor Limited (ASX:AMC) has reached an agreement to purchase the assets of Ball Plastics Packaging Americas from Ball Corporation (NYSE:BLL) for US$280 million. Ball Plastics has five plants in North America and sales of approximately US$600 million. Amcor said the acquisition, presenting a significant opportunity to improve operating efficiencies, will expand Amcor's diversified products business which targets the health care/pharmaceutical, personal care, food and liquor markets. The acquisition will be funded from existing undrawn facilities at an interest cost of approximately 5 per cent.
Rio Tinto Ltd (ASX:RIO) says it is to invest US$469m in building the Kennecott Eagle nickel and copper mine in Michigan's Upper Peninsula in the USA, following receipt of final environmental approvals. Construction of the mine and mill will begin this year and first production is expected in late 2013. The long-term demand outlook remains strong for both nickel and copper and bringing Eagle on stream will give the company greater benefit from that growth, said Chief Executive Copper, Andrew Harding. Eagle will produce separate nickel and copper concentrates containing an average of 17,300 and 13,200 tonnes per year of nickel and copper metal, respectively, over six years.
Contact
Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net
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