• Mantra (MTR) – Has received a takeover offer by Accor S.A by way of scheme of arrangement at $3.96 a share. That comes in at a 23% premium to the pre-bid price. The Mantra board have recommended the takeover to shareholders.
  • Spheria Funds – Is preparing a small-cap LIC. It is targeting a raising of around $250m. The fund invests in a mix of small / micro cap companies. Wilsons are the lead manager. The fund has returned 9.5% over the year.
  • Austal (ASB) has won a further contract for the Independence Class, Littoral Combat Ship (LCS) to be built at its shipbuilding facilities in Mobile Alabama. The exact value of the award is confidential. This is the second LCS vessel to be awarded this year to Austal.
  • Rio Tinto (RIO) – There are a growing number of shorters in the stock, with short positions now standing at 9%. It’s the highest level since 2010.
  • Spacer – A parking app has raised $2.7m to fund the acquisition of competitor Parkhound and drive further expansion. The app helps Australians find parking spaces to park their car.
  • WorleyParsons (WOR) – Will expand its operations into the North Sea. It bought AFW UK Oil & Gas for $303m. WOR is raising capital via a 1 for 10 full underwritten, pro-rata, accelerated entitlement.
  • Select Harvests (SHV) – Has rejected a $430.6m takeover bid by Abu Dhabi’s sovereign wealth fund. The fund was offering $5.85 cash a share offer. Following the announcement, shares rose to $5.27 up 25.4%.
  • Praemium (PPS) – Shares rallied after the platform provider posted quarterly inflows of $587m. It was the highest ever reported, with strong inflows from new clients and particular growth from existing clients. FUA in Praemium’s retail superannuation offering SuperSMA, reached $716m and comprises 17% of the Australian SMA platform.
  • CBA shares were under the pump this week after UBS said the AUSTRAC allegations may see the bank lowering its internal return on equity targets. This level is believed to be between 16%-17%.
  • Platinum Asset Management (PTM) shares were up this week after it posted a funds under management increase of around $1 billion to $24.8 billion at the end of September.
  • Morgans has listed its high conviction buys: Oil Search, ResMed, Westpac, Bapcor, NextDC, MotorCycle Holdings, Aventus (AVN) and PWR Holdings (PWH).
  • Skydive (SBK) – Has announced the acquisition of GBR Helicopters Pty Ltd and GBR Holdings Pty Ltd. The transaction will be materially earnings accretive on an annualised basis and it enhances Skydive’s market leading position in adventure tourism. The purchase will be funded by an institutional Placement of $20m.
  • Bellamy’s (BAL) – Has upgraded guidance by 10%. FY18 revenue growth guidance is now expected to be 15-20% from 5-10% and 17-20% EBITDA margin from 15-20%. The guidance excludes the Company’s Camperdown business.
  • Rio Tinto (RIO) – Apollo and pension fund Canada Pension Plan are bidding for RIO’s coal assets that have been put up for sale. Analysts are expecting the sale to net the miner US$2bn. The move is part of the company’s plans to exit from Australian coal and to focus on iron ore, copper and aluminum.
  • Bank of Queensland (BOQ) – Has delivered a record profit result which came with a surprise special dividend of 8c. NPAT was up 4% to $352m rising on the back of lower bad debts and higher cost cutting. The cash profit was up 5% to $378m beating expectations.
  • Transurban (TCL) – At its AGM this week, shareholders questioned the company’s continued use of ‘fair value’ accounting to allocate shares in its long term incentive plans. Most companies use face value as it’s more transparent and less volatile.
  • Medibank (MPL) and NIB Holdings (NHF) will be in the spotlight ahead of expected changes to private health insurance regulations designed to reduce the pressure off premium rises and stop an exodus of members.