The Australian share market has eased off a positive open and is flat at noon, weighed down by global sentiment over Japan’s nuclear crisis and conflict in Libya. Shares in Virgin Blue Holdings Ltd (ASX:VBA) have sunk over 6 per cent after the airline warned that its 2011 financial year profit is expected to fall to a net loss of up to $80 million. While shares in David Jones Ltd (ASX:DJS) have firmed after the retailer posted a 5.2 per cent lift in its first half net profit.
The S&P/ASX200 index has dipped 2 points and is 4,641 at noon. On the futures market the SPI is 18 points lower.
Company news: West Australian Newspapers Holdings Ltd (ASX:WAN) has announced that it has completed the retail component of a $653 million raising to aid funding its $4 billion purchase of Seven Media Group. The media company says that only 14 per cent of the entitlement was taken up by shareholders, who applied for around $47 million of the $328 million retail offer at $5.20 per share. The company’s purchase of Seven Media Group will be put to a shareholder vote next month. Shares in West Australian Newspapers have slipped 1.13 per cent and are trading at $5.23 at noon.
Rio Tinto Ltd (ASX:RIO) has edged closer to its planned $3.9 billion takeover of Riversdale Mining Ltd (ASX:RIV).
The global miner has just advised that it has received acceptances on 35.89 per cent of the shares in the Mozambique-focused coal miner. If Rio obtains over 50 per cent acceptances by 28 March, Riversdale shareholders will receive $16.50 per share. Shares in Rio Tinto have firmed 0.05 per cent at noon and are trading at $80.59.
To the best and worst performers: The best performing sector is Health Care, rising 91 points to 8,474. Shares in Cochlear have improved 3.1 per cent and trading at $80.74. Shares in Mesoblast and CSL have also risen at midday. The worst performing sector is Utilities, dropping 40 points to 4,075. Shares in Duet Group have fallen 1.87 per cent to $1.575. Shares in AGL Energy and APA Group have also slipped at midday.
To New Zealand: The NZSX50 has added 10 points. Taking a look at the top four stocks by turnover, Fletcher Building is at the top of the list with stock up 0.8 per cent at $8.85 followed by Telecom Corporation of New Zealand, Westpac and ANZ.
Gold and the dollar: Gold is trading at $US1427 an ounce and the Aussie dollar is buying $US1.008 cents.
