The Aussie sharemarket is more than two per cent lower at midday, Billabong dragging the consumer discretionary sector down heavily after it warned of sinking profits.
The S&P/ASX200 index is down 89 points and is 4,070. On the futures market the SPI is 81 points lower.
Company news
Woolworths Limited (ASX:WOW) has bought 31 pubs and one bottle shop in NSW from the Laundy, Waugh and De Angelis groups. It’s ALH group has signed long term leases as well as acquiring the businesses and their associated assets. They’ll compliment the 27 pubs ALH currently operates. Shares in Woolworths Limited are down 0.69 per cent, to $26.08.
Strong demand from institutional investors has seen Bendigo and Adelaide Bank Limited (ASX:BEN) increase its capital raising venture to $150 million from its previous aim of $120 million. The regional lender’s raising the money through a placement of new shares to institutional shareholders, to fund its acquisition of Bank of Cyprus Australia. A non-underwritten share purchase plan will be offered to retail shareholders in the near future. Shares in Bendigo and Adelaide Bank Limited (ASX:BEN) are trading 4.78 per cent lower at $8.57.
Best and worst performers
The best performing sector is real estate investment trusts, but it’s 10 points lower at 799. Shares in Goodman Group are up 0.89 per cent at 56.5 cents. Investa Office fund and Mirvac are also higher at midday.
The worst performing sector is consumer discretionary, down 44 points to 1,188. Shares in Billabong have slumped 36.81 per cent to $2.30. Shares in Cash Convertors and Harvey Norman are both higher.
IPOs
Today the market welcomes Kina Petroleum (ASX:KPL), it listed at 20 cents, opened at 20 cents and is currently trading at 20 cents.
New Zealand
The NZSX50 has lost seven points. Taking a look at the top four stocks by turnover, Chorus down 1.32 per cent to $3 followed by Telecom, Trade Me and Fletcher Building.
Gold and the dollar
Gold is trading at $US1,599 an ounce and the Australian dollar is buying 99.45 US cents.
