Freedom Foods hammered by investors: Aus shares close 0.7% higher

Market Reports

by Michael Luu

Rises in all sectors besides materials levitated the ASX200 in the green zone after midday, as Aus shares maintained momentum throughout the afternoon to close 0.7 per cent higher or 44 points up at 6753. This put an end to three consecutive sessions in the red for the ASX200. The on-going severe rainfall and floods have put Australia in an insurance catastrophe, as shares in QBE Insurance (ASX:QBE), Suncorp (ASX:SUN) and IAG (ASX:IAG) all closed over 2 per cent lower.

Futures market

Dow futures are suggesting a fall of 43 points.
S&P 500 futures are eyeing a rise of 2 points.
The Nasdaq futures are eyeing lift of 73 points.
And the ASX200 futures are eyeing a 45-point rise tomorrow morning

Company news

Messy Monkeys producer Freedom Foods Group (ASX:FNP) resumed trading today after a nine-month absence from the stock market.

The owner of many Australian snack food brands last traded at $3.01 before entering a trading halt on the back of a severe accounting scandal. The circumstances pressured the company to amend years of financial records and accept a $600-million-dollar write-down. The resumption of trade is part of Freedom Foods Group’s recapitalisation campaign to raise $265 million as a relief package for the company’s regulatory woes.

Shares in Freedom Foods Group (ASX:FNP) closed 82.4 per cent lower at 53 cents

Diagnostics developer AnteoTech (ASX:ADO) today released results from clinical research into the company’s COVID-19 antigen test, indicating 97.3 per cent sensitivity to antigens for coronavirus.
AnteoTech (ASX:ADO) is in pursuit of new COVID-19 testing methods. The positive news is expected to bolster the company’s application for a CE mark, in order for the tests to be adopted at European health institutions.

Shares in AnteoTech (ASX:ADO) closed 11.1 per cent higher at 25 cents

Other company news

Under-pressure Crown Resorts (ASX:CWN) has officially confirmed that American investment business Blackstone has submitted an $8 billion takeover bid to acquire the Australian casino operator.

Telco giant Telstra (ASX:TLS) is planning the most comprehensive restructuring program since the company’s privatisation in 1997, involving splitting the group into separate entities under a new holding company.

Best and worst performers of the day

The best performing sector was Energy adding 2.8 per cent while the worst performing sector was Materials, the only one in the red, shedding 0.5 per cent

The best performing stock in the S&P/ASX 200 was Crown Resorts (ASX:CWN), rising 21.4 per cent to close at $11.97. Shares in Ampol (ASX:ALD) and Codan (ASX:CDA) followed higher.

The worst performing stock in the S&P/ASX 200 was Champion Iron (ASX:CIA), dropping 10.1 per cent to close at $5.07. Shares in Fortescue Metals Group (ASX:FMG) and Pilbara Minerals (ASX:PLS) followed.

Asian markets

Mixed: Japan’s Nikkei has lost 1.7 per cent, Hong Kong’s Hang Seng has shed 0.2 per cent and the Shanghai Composite has gained 0.9 per cent.

Commodities and the dollar

Gold is trading at US$1,742 an ounce.
Iron ore price dropped 3.1 per cent to US$161.39.
Its futures are pointing to a fall of 5.9 per cent.
Light crude is US$0.09 down at US$58.38 barrel.
One Australian dollar is buying 77.25 US cents.


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