Shrugging off weak leads the Australian share market lifted at open and closed 1 per cent stronger. Local trading sentiment was buoyed by deal making and a number of M&A announcements. Most sectors ended higher but real estate slipped into the red by close.
Figures
The S&P/ASX 200 index advanced 57 points to close at 5,722.
The value of trades was $3.7 billion on volume of 556 million shares at the close of trade.
The top three stocks by value were National Australia Bank Limited
(ASX:NAB), Westpac Banking Corporation
(ASX:WBC) and Commonwealth Bank of Australia
(ASX:CBA).
On the futures market the SPI is 53 points higher.
Company news
Shares in Sirius Resources NL
(ASX:SIR) spiked after inking a takeover deal with Independence Group NL
(ASX:IGO). The mineral explorer’s board has urged shareholders to back the proposal which values the company at about $1.8 billion. While Independence Group finished at the worst performer shares in Sirius Resources spiked to the best performer, up 20.37 per cent to close at $3.90.
Shares in Skilled Group Limited
(ASX:SKE) gained after revealing it is reconsidering a possible merger with Programmed Maintenance Services Limited
(ASX:PRG). The staffing services company says both groups have agreed to explore options after Skilled knocked back a proposed deal. While shares in Programmed Maintenance Services fell 4.2 per cent shares in Skilled Group gained 11.79 per cent to close at $1.38.
Gold mining company Evolution Mining Limited
(ASX:EVN) has inked a deal to buy Barrick’s Cowal gold mine in central New South Wales for just over $700 million.
Property developer Sunland Group Limited
(ASX:SDG) has bought a site in Brisbane for $11.1 million which has been earmarked for a boutique luxury housing development.
Singaporean investment group 8I Holdings Limited
(ASX:8IH) has sold down its interest in CPA Academy Limited and this week plans to tie up the purchase of Velocity Holdings.
IT services provider UXC Limited
(ASX:UXC) has entered into an agreement with the Tasmanian State Government to establish an enterprise delivery centre in Hobart.
Best and worst performers
The best performing sector was utilities, adding 1.7 per cent to close at 6,724.
The only sector to close lower was real estate investment trusts, losing 0.2 per cent to close at 1,290 points.
The best performing stock in the S&P/ASX 200 was Sirius Resources NL
(ASX:SIR), spiking 20.37 per cent to close at $3.90. Shares in Skilled Group Limited
(ASX:SKE) and Senex Energy Limited
(ASX:SXY) also closed higher.
The worst performing stock was Independence Group NL
(ASX:IGO), dropping 11.97 per cent to close at $5.15. Shares in Sundance Energy Australia Limited
(ASX:SEA) and Ardent Leisure Group
(ASX:AAD) also closed lower.
Commodities
Gold is buying $US1,205 an ounce.
Light crude is $1.00 lower at $US59.72 a barrel.
Currencies
The Australian dollar is buying $US0.7829.