We asked our portfolio managers to share their views on potential surprises for 2019 which on balance of probabilities are unlikely to happen but shouldn’t be written off entirely. Here are ten potential surprises for 2019. Show More
m&a
Reading through Patrick Poke’s article yesterday analysing Seth Klarman’s annual letter for Baupost Group ("Klarman: A Buying Opportunity"), a particular passage stood out. Unsurprisingly, not least because of our history in championing the strategy, the passage focused on reducing correlation to broader equity markets. Show More
Healthscope (HSO.ASX) has found itself talk of the town again after it received its second non-binding approach from a consortium led by BGH Capital. Show More
Takeda Pharmaceutical is the largest pharmaceutical company in Japan and Asia, it is headquartered in Osaka and entered the US pharmaceutical market in 1977. Shire Pharmaceutical is a speciality biopharmaceutical company, headquartered in Ireland and listed on the London stock exchange in 1996. Show More
There are no free lunches in finance, but for Australian investors, franking credits can be the next best thing. Luke Cummings, Chief Investment Officer at Harvest Lane Asset Management, says that many M&A transactions are structured to include a fully franked dividend as part of the headline price. Australian investors... Show More
With additional details being recently released on the Coles demerger capital structure and directors, the market appears to be largely positive on the transaction. Is Wesfarmers planning acquisitions for the future or should they stick to organic growth strategies? Show More
The chronology of events this past 24 hours is rather curious and provides somewhat of a conundrum as to how to play the current machinations. Santos has stated today that on the 14th of August the company received a confidential, non-binding, conditional and indicative proposal to acquire all the shares... Show More
With the planned merger with Aphrodite Minerals (due to be completed in early January, and with the Scheme Booklet now available), Spitfire is continuing the transformational strategy of becoming a significant Australian gold developer. Work by the Company, headed by the Pilbara team of John Young and Neil Biddle, has... Show More
The market is littered with the corpses of over-geared, would-be consolidators that grew too fast and didn’t fully integrate acquisitions along the way. You needn’t even stray outside of the telco sector to find a recent and very public example in Vocus Group (ASX:VOC). You would therefore be forgiven for... Show More
This Bloomberg article focuses on the growing interest in Australian companies from offshore acquirers. There was $76.1 billion of cross-border M+A last year, with health care, education and tech in focus, while Industrials and utilities are now in the cross-hairs. Goldmans is now reportedly seeking to double its principal investments:... Show More
Afterpay (ASX:AFY) is changing the way consumers buy retail goods and, in the process, is revolutionising layby. The outlook for growth in Afterpay isn't slowing but the market appears apprehensive with the recent announcement that AFY will merge with, its once big brother, Touchcorp (ASX:TCH). Is this an opportunity to... Show More
In our ‘Internet Dealbook’ we track Angel, VC, PE and M+A activity across Internet and technology-related companies. Last year Australia saw $2.9b in investment and acquisition activity across the 120 deals tracked from public sources, and the outlook for 2017 is very positive. Show More
On Friday, commercial printing company PMP Limited (ASX: PMP) announced it will merge with privately owned print and digital services provider IPMG Group. PMP Limited will acquire 100% of IPMG and issue new PMP shares to existing IPMG shareholders. Combined, IPMG shareholders will then hold a maximum 37% interest in... Show More
The last few months has seen the highest level of M&A activity on the ASX in the last 3-5 years, says Chris Stott, Chief Investment Officer at Wilson Asset Management. With balance sheets in great shape and private equity funds again in acquisition mode, he expects the trend to continue... Show More
Market popped up on the open with US positive sentiment and then traded sideways and choppy for the rest of the day. There is a bit of macro data out today….China data were solid while Canadian rates update, UK unemployment, US housing starts, US Fed beige book and the third... Show More
The booming tech sector is gearing up for a wave of consolidation, as some companies discover they don’t have a business model, others find that they don’t have the cash to compete in a ferociously competitive market has been, by one measure, a huge success. It has a more than... Show More
Corporate transactions have a mixed history in Australia, the mention of roll-ups brings bad memories of disasters like ABC Learning for investors. There’s a stark contrast in the fortunes of spin-offs like Orora, which has doubled since listing in late 2013, and South32, which at one point had fallen by... Show More
Macro outlook: Central banks return to currency war with BOJ, ECB and PBOC looking to further easing bias while US Fed has turned substantially dovish on interest rate cycle. China, Japan and Europe will need more stimulus to work through further growth slowdown while the US economy will also run... Show More
Chad Slater, joint Chief Investment Officer at Morphic Asset Management, says there are three clear indicators that suggest the 'Bull Market, which has been in flight since 2009, is now coming to an end. Firstly, we are now seeing a big divergence in the performance of individual stocks with only... Show More
Bloomberg has released its “2015: The year in Money” report. The 10 highlights were 1) Apple hit a record $775B market cap. 2) Netflix was the best performer in the S&P500 (Up 143%) 3) Sales of investment grade corporate bonds are at an all time high. 4) The junk bond... Show More
