Hello and good afternoon. I’m Sage reporting live from Kalkine Studio. It’s lunchtime here in Sydney, and time for ‘The
Mid-Market Pulse’. In today’s show, we’ll take a look at the overall Australian share market performance
by the mid-session trade. We will also explore the biggest winners and losers of the day such as Flight
Centre Travel Group, Beach Energy, Technology One, Nickel Mines, Orocobre, Lynas Rare Earths, and
others. Lastly, we’ll focus on stocks such as AMP, Mesoblast, Silver Lake Resources,
Marley Spoon, Emyria, and many more that have grabbed headlines today. So, without further
ado, let’s get started.
Australian shares started the week on a bearish note following weak cues from the
European and US markets as the resurgent of coronavirus cases threatens to disrupt global
economic recovery. The ASX 200 benchmark index stayed under stress by mid-session amid broad-based
selling across sectoral indices. The local travel companies such as Corporate Travel
Management and Flight Centre witnessed selling pressure due to fear of further lockdowns
across Europe. While full lockdown has been imposed in Austria from today, Germany is
also mulling the same. The persistent concerns over inflation also kept investors sidelined.
The ASX 200 index was down by 26.60 points or 0.36% by mid-session. The benchmark
index opened lower, mirroring weakness in global markets, and declined as much as 0.8%
during the day’s trade so far. On the sectoral front, six of 11 sectors were trading lower. The
energy sector was the worst performer with 1.8% loss, owing to fall in crude oil prices.
Financial sector and tech sector were also reeling under selling pressure with a 0.9%
loss. Among others, telecom and industrial space also traded lower with marginal losses.
Meanwhile, consumer staples was the best performing sector with a 0.3% gain. Material,
health care, A-REIT, and utilities also saw some buying.
In our next segment, let’s focus on the top gainers and losers by mid-session trade.
The worst performer on the ASX pack was Australia’s largest retail travel outlet Flight Centre
Travel Group, which traded 4.5% lower. Some of the other notable losers were oil producer
Beach Energy, property business Unibail-Rodamco-Westfield, gold miner Silver Lake Resources, and software
business Technology One. On the gaining side, mining company Nickel Mines topped the chart
by rising 6.1% by mid-session. The other top performers were minerals explorer Orocobre,
resource company Lynas Rare Earths, lithium miner Pilbara Minerals, and mining infrastructure
services provider Mineral Resources.
On this note, let’s move on to stocks that created a buzz on the ASX today.
Shares of financial services company AMP traded 1.3% higher by mid-session on Monday following
an exchange update. The wealth manager in an exchange filing said it has decided to
continue as manager of the AMP Capital Wholesale Office Fund. As per the company, the Trustee
Board for AWOF has decided that it is in the best interests of shareholders for AMP Capital
to continue as trustee and manager of the fund. The decision was taken following a thorough
assessment of management proposals received from AMP Capital and two shortlisted competitors.
Shares of Mesoblast dropped 0.6% after the pharma company inked a credit deal with US
fund manager Oaktree Capital. The company, a global leader in allogeneic cellular medicines
for inflammatory diseases, informed its shareholders this morning that it has successfully refinanced
its existing senior debt facility by signing a new US$90 million five-year facility with
Oaktree Capital Management. Mesoblast drew the first tranche of US$60 million on closing,
with proceeds being used to repay the outstanding balance of the existing senior debt facility
with Hercules Capital, Inc. The company will draw an additional US$30 million on or before
December 31, 2022, subject to certain conditions.
And now, we take a small break. Stay tuned on Kalkine TV.
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Hello and
welcome back. Let’s move on to more stocks that created a buzz on the ASX today.
Shares of Silver Lake Resources fell over 3% after the gold miner acquired credit facilities.
The miner in an exchange update said it has acquired credit facilities provided by French
bank BNP Paribas to Harte Gold, a Canadian mining company. Silver Lake has acquired the
fully drawn US$63.3 million credit facilities which have been in forbearance since July.
The loaned money is “secured by a first lien on all the present and future assets,
property and undertaking of Harte Gold”, and are guided by a forbearance agreement
that expires at the end of the month. Harte Gold owns and operates the Sugar Zone mine
in Ontario, Canada, with an associated 81,287-hectare land package.
Shares of Marley Spoon climbed over 1% after the meal kit company following the appointment
of a new global chief operating officer and member of the management board. The company
said that Rolf Weber, the CEO of Marley Spoon’s Australian business, will take on additional
global responsibilities as Chief Operating Officer, with effect from 1 December 2021.
Rolf Weber joined Marley Spoon in February 2015 to launch its Australian operations,
which he subsequently grew into a profitable AU$200 million annual revenue run-rate business.
Shares of Emyria surged over 15% after the drug maker secured a AU$5 million strategic
investment. The company has successfully conducted a successful AU$5 million share placement
to the Forrest family’s Tattarang investment vehicle. As per the deal, 20 million shares
will be issued to Tattarang at 25 cents per share. It will be also offered 10 million
options in Emyria at 40 cents per Option and an expiry date of 2 years from the date of
issue. Following completion of the Placement, Tattarang will hold an interest of approximately
7.3% in Emyria.
Well, that’s a wrap in the show. Keep watching kalkine tv for more trending market updates
from Australia and around the world.