The Australian sharemarket experienced a significant outage, impacting as many as 50 stocks near midday AEDT. This disruption occurred as Treasury Wine warned of a $687 million US writedown, Pro Medicus secured a US contract, and Metcash reported earnings that missed expectations, while declaring an 8.5¢ dividend. Trading was affected for a period, with the full extent of the impact still being assessed.
In other corporate news, AUB Group saw its private equity suitors, EQT and CVC Capital Partners, abandon a potential $5 billion buyout of the insurance broker. AUB stated the firms indicated they would not proceed with a $45-per-share bid, but expressed confidence in its current business strategy. AUB Group is a leading insurance broker and risk management services provider in Australia and New Zealand. It connects clients with a wide range of insurance products and advice.
Meanwhile, Wilson Asset Management welcomed Sophia Mulligan, a Macquarie Group equity research analyst, as an associate. In legal matters, Slater & Gordon settled a long-running lawsuit with Alicia Gleeson, a former HR executive who alleged she was unfairly dismissed after raising concerns about underpayments. Slater & Gordon is a well-known law firm providing a range of legal services to individuals and businesses.
Elsewhere, fund manager Martin Conlon has voiced concerns about Australia’s economic model, describing it as an unsustainable combination of high house prices and immigration.
