The Australian share market finished the day and week higher, galloping home amid a torrent of earnings today to close 0.9 per cent stronger. Energy led the way for the major sectors as the local market pared back its 0.5 per cent loss from yesterday, while Billabong is entertaining yet another recapitalization proposal from some interested US parties.
Today, the S&P/ASX 200 index closed 48 points up to finish at 5,123. Over the week the index added 9 points. The value of trades was $5.22 billion on volume of 1.04 billion shares at the close of trade. The top three stocks by value were Commonwealth Bank of Australia
(ASX:CBA),
On the futures market the SPI is 54 points up.
US Indices
US stocks were mixed over the four trading days this week: The Dow Jones Industrial Average lost 148 points. The S&P 500 Index dropped 4 points, the Nasdaq added 33 points and the 100 Index added 26 points.
Company news
Billabong International Limited
(ASX:BBG) has received a fresh $US325 million recapitalisation proposal from twice spurned suitors Centrebridge Partners and Oaktree Capital, which would see them take a 39.7 per cent stake in the surfwear retailer. The US hedge funds claim Billabong would be up to $143 million better off than on its debt for equity swap with private equity firm Altamont Capital Partners. Shares in Billabong closed 6.82 per cent up at $0.59.
Graincorp Limited
(ASX:GNC) suitor, US agribusiness Archer Daniels Midland has pushed back the deadline of its $3.4 billion takeover offer until mid-November. The extension comes after ADM failed to spur enough shareholder support ahead of its initial August deadline, however the US grain giant says it believes its offer is highly attractive and in the best interests of shareholders, grain growers and Australia’s agricultural economy. Shares in Graincorp closed 0.81 per cent up at $12.47.
RHG Limited
(ASX:RHG) shares firmed 2.08 per cent after the lender received a sweetened all cash takeover bid of 49.5 cents from Resimac, an attempt to quash a rival joint bid from Pepper Australia and Cadence Capital.
Australia's largest waste management company Transpacific Industries Group Limited
(ASX:TPI) shares gained 5.11 per cent after vowed to keep putting a knife to costs despite slumping to a full year loss of $218.7 million.
Best and worst performers
The best performing sector was Energy adding 209 points to close at 13,764.
The worst performing sector was Utilities, losing 69 points to close at 5,276.
The best performing stock in the S&PASX 200 was St. Barbara Limited
(ASX:SBM), rising 12.86 per cent to close at $0.79. Shares in Resolute Mining Limited
(ASX:RSG) and Sims Metal Management Limited
(ASX:SGM) also closed higher.
The worst performing stock was Discovery Metals Limited
(ASX:DML) dropping 14.89 per cent to close at $0.20. Shares in Spark Infrastructure Group
(ASX:SKI) and Reject Shop Limited
(ASX:TRS) also closed lower.
Commodities
Gold is trading at $US1,376 an ounce, and is down $1.20 over the week. Light crude is $1.18 higher at $US105 a barrel.
The Australian dollar
The Australian dollar is buying $US0.8996 and is $0.018 down over the week.
