The Australian share market has lifted 0.5 per cent at noon, building on early gains, after US stocks firmed on Friday as investors were reassured a fiscal cliff deal will be negotiated before the end of the year.
The S&P/ASX 200 index is 18 points up at 4,355. On the futures market the SPI is 19 points higher.
Company news
Billabong International Limited
(ASX:BBG) shares have been given a boost today on news it is considering a new unsolicited takeover offer from several parties. In a statement to the market the surf wear retailer said its Director Paul Naude will stand down from his position temporarily, in order to secure financing for a leveraged buyout. Private equity firm TPG Capital recently fled from its $695 million takeover offer as did Bain Capital. Shares in Billabong are trading up 10.81 per cent at $0.82.
The Australia Pacific LNG joint venture between Origin Energy Limited
(ASX:ORG), ConocoPhillips and Sinopec has confirmed its $US8.5 billion project finance facility has been secured with first drawdown aleady occurring. The facility will be progressively drawn down throughout the construction period. The financing of the project is the largest ever signed in Australia and is the key component in the development of coal seam gas to liquefied natural gas in the Surat and Bowen Basins. Origin downgraded its full year underlying guidance earlier this month, due to new regulation costs imposed by the QLD state government. Shares in Origin are trading up 2.24 per cent at $10.06.
Best and worst performers The best performing sector is energy gaining 193 points to 11,919. Shares in Paladin Energy Limited
(ASX:PDN) have risen 7.52 per cent and trading at $0.82. Shares in Buru Energy and Santos are also stronger.
The worst performing sector is financial excluding REITs, falling 0.5 point to 5,094. Shares in Macquarie Group Limited
(ASX:MQG) have fallen 0.62 per cent, trading at $30.31. Shares in Westpac are lower whilst NAB is higher.
Gold and the dollar
Gold is trading at $US1,716 an ounce and the Australian dollar is buying $US1.036.
