iiNet Limited (IIN) requested its shares be placed in trading halt pending the release of information in respect of an acquisition. The internet access services provider expects the trading halt be lifted within two business days.
Qantas Airways Limited (QAN) reported a 14.2% increase in passenger numbers in February compared to the previous corresponding period. The company said 3.8% and 2.5% increases in Revenue Passenger Kilometres (“RPK”) and Available Seat Kilometres (“ASK”) respectively resulted in a revenue seat factor of 79.4%, or 1 percentage point higher than the pcp. Looking at the financial year-to-date, Qantas said passenger numbers were up 7.7% on the previous year. The company said RPKs increased by 1.3%, while ASKs decreased by 1.3%, resulting in a revenue seat factor of 81.9%, which was 2.1 percentage points higher than the previous year. Qantas said it has hedged 87% of its expected fuel requirement in 2009/10 at a worst-case crude oil price of US$88 per barrel including option premium.
MMC Contrarian Limited (MMA) has signed agreements to acquire Bupa Australia’s Life Insurance business and Wealth Management business for $195 million. The company said as part of the transaction, it has entered into an exclusive alliance with Bupa Australia to market its life insurance and wealth management products to Bupa Australia’s 2.9 million private health insurance customers for a period of 10 years. MMC said the price represents a 22.6% discount to embedded value or an 8.5% discount to embedded value. The company said the acquisition would be funded through existing cash resources, as well as a $61.7 million fully underwritten institutional placement and a $73.3 million fully underwritten non-renounceable pro-rata entitlement offer. MMC also announced the appointment of former CEO of CommInsure Simon Swanson as the company’s new managing director. MMC said its previous managing director, Alex Hutchison, would become the CEO of MMC's Wealth Management and Advice business.
Brambles Limited (BXB) said it has priced a US$500 million guaranteed senior note issue and a US$250 million guaranteed senior note issue in the United States 144A bond market. The company said it would use the proceeds from the notes to repay borrowings under its existing revolving bank credit facilities. Brambles said both are fixed rate notes and would be issued by subsidiary Brambles USA, Inc. The company said the US$500 million notes have a coupon of 5.35% for a term of 10 years, while the US$250 million notes have a coupon of 3.95% for a term of five years.
Austock Group Limited (ACK) said the company’s proposal to sell its 16.7% stake in Newreg Pty Limited to Link Market Services for about $8 million has been opposed by the ACCC. The company said the ACCC concluded that the acquisition of Newreg by Link would substantially lessen competition in the national market for securities registration and related services.
Asciano Limited (AIO) announced the resignation of chief financial officer Peter McGregor. The company said Mr McGregor’s resignation would be stepping down effective 30 April 2010 as he pursues other opportunities outside the business. Asciano said an executive search is underway to identify CFO candidates, while in the interim period until this replacement CFO is appointed, the CFO’s existing duties will be carried out by appropriate members of the Asciano management team.
Skilled Group Limited (SKE) announced the resignation of Executive Director and Chief Operating Officer John Dixon from the group’s board and the appointment of Max Findlay to the board as an independent non-executive director. The company said Mr Dixon’s resignation is effective as of today as he pursue his own interests. Skilled said Mr Dixon would stay on as an advisor to the business, and will chair the Offshore Marine Services Alliance joint venture board. Mr Findlay’s appointment is effective as of today. The company’s board also announced the appointment of Tim Paine as company secretary and group general counsel, effective Monday 29 March.
Nomad Building Solutions Limited (NOD) said business units Nomad Modular Building Queensland and Halley Homes have secured over $28 million of work in the past month. The company said the various contracts include accommodation units, modular housing, rental sales, specialty commercial buildings and education facilities. Nomad said the new works commence shortly and are expected to be completed early in the first quarter of the 2010-2011 financial year. The company said the groups work in hand now stands at approximately $170 million.
Swick Mining Services Limited (SWK) said it has been awarded a new underground diamond drilling contract with global gold major Newmont valued at in excess of $50 million in revenue over three years. The company said the contract is one of the largest it has secured in its history, underpinning the company’s revenue for the next three years. Swick is forecasting a record number of 63 rigs in work across Australia and North America by July 2010. Under the new contract, Swick said it would provide underground diamond drilling services to Newmont at the Jundee and Tanami Gold Mines, commencing in April 2010. There is a one-year option held by Newmont to extend the contract into a fourth year. Swick said it currently has five rigs drilling at Jundee and four rigs drilling at Tanami under an existing contract with Newmont that commenced in April 2007. The company said an additional two underground diamond drill rigs would be mobilised to Tanami for the new contract.
Asciano Group (AIO) announced it has secured a long-term rail haulage contract with Australian Freight forwarding company Sadleirs Transport that would generate over $150 million in revenue over the next seven years. The company said as part of the agreement its Pacific National operation would extend its current services that provide Sadliers transport rail vans between Sydney and Perth to also accommodate Sadliers haulage needs between Melbourne to Perth. Asciano said the agreement reinforces Pacific National’s leading position in the Intermodal freight market.
Isoft Group Limited (ISF) announced that NHS Shared Business Services (NHS SBS) has extended its contract for iSOFT Business Solutions to host its Oracle finance and purchasing applications by an additional two years. The company said the latest contract, worth $9.8 million, extends the original $47.8 million agreement, signed in March 2008, to 2016.
Asciano Group (AIO) announced it has secured a long-term rail haulage contract with Australian Freight forwarding company Sadleirs Transport that would generate over $150 million in revenue over the next seven years. The company said as part of the agreement its Pacific National operation would extend its current services that provide Sadliers transport rail vans between Sydney and Perth to also accommodate Sadliers haulage needs between Melbourne to Perth. Asciano said the agreement reinforces Pacific National’s leading position in the Intermodal freight market.
Isoft Group Limited (ISF) announced that NHS Shared Business Services (NHS SBS) has extended its contract for iSOFT Business Solutions to host its Oracle finance and purchasing applications by an additional two years. The company said the latest contract, worth $9.8 million, extends the original $47.8 million agreement, signed in March 2008, to 2016.
Sigma Pharmaceuticals Limited (SIP) postponed the release of its full-year results from tomorrow, 23 March 2010 to on or before 31 March 2010. The company said more time than expected is required to finalise the year-end accounts.
Lend Lease Group (LLC) announced the appointment of Penhall/LVI International chairman and CEO Robert McNamara as Chief Executive Officer Americas, for Lend Lease. The group said the role confirms its commitment to growth and operational excellence in the Americas and reinforces Lend Lease’s integrated offering to the market. Lend Lease said Mr McNamara would start with group on 19 April 2010.
Navitas Limited (NVT) announced the execution of a Recognition and Articulation Agreement with Edinburgh Napier University for the establishment of the Edinburgh International College (“EIC”). The company said under the agreement it would have access to the university’s teaching and other facilities, as well as accommodation and administration facilities at the campus. Navitas said with expected strong demand for student enrolments, EIC is expected to follow the pattern of other Navitas’ colleges and reach operational break even within 18 months.
Mirvac Group (MGR) issued and priced a new $150 million five-year fixed AUD Medium Term Note into the domestic bond market for a margin of 265 basis points. The group said the transaction was more than two times oversubscribed with a diversity of over 20 accounts and strong cornerstone interest. Mirvac said the earnings impact of this debt issue is in line with expectation and accordingly our earnings guidance of 9.2c per stapled security for FY10 remains unchanged.
In a joint statement released yesterday afternoon, Metcash Limited (MTS) and Mitre 10 Group said the Supreme Court of Victoria approved the inter-conditional schemes of arrangement between the two companies. Under the scheme Metcash would acquire a 50.1% interest in Mitre 10 in return for injecting an estimated $55 million of new equity capital into the Mitre 10. The companies said the court’s approval of the schemes follows the approval by Mitre 10 Australia Limited and Mitre 10 Limited shareholders at scheme meetings held last Friday.
Spotless Group Limited (SPT) has completed the acquisition of the privately owned international cleaning and outsourced services company, CE Property Services Group ‘Cleanevent’. Spotless said the Cleanevent has revenue of over $140 million, with approximately 60% of revenue generated in Australia. The company said the acquisition was comfortably funded from existing debt facilities. Spotless added that the acquisition provides Spotless’ Facility Services operations with an established presence in new geographies including the United Kingdom, Europe, the United States and the Middle East.
Industrea Limited (IDL) announced new contract wins totalling $3.9 million over the last four weeks for underground mining vehicles and power generation units supplied to China and Australia. The company said China’s Shenhua Energy Company has ordered four PJB Nipper flame and explosion-proof vehicles for a total of $1.2 million, while in the domestic market a $1 million contract with BHP Billiton Mitsubishi Alliance and a $1.7 million contract with Rio Tinto in their central Queensland operations have also been signed.