Shares in Mesoblast (ASX:MSB) drop over 15%: ASX closed 0.4% lower

Market Reports

by Rachael Jones

The local sharemarket ended lower today after failing to gain momentum after a drop at the open. Shares in Reliance Worldwide Corporation (ASX:RWC) are doing well today meanwhile, shares in Mesoblast (ASX:MSB) dropped over 15 per cent.

The S&P/ASX200 fell 29 points or 0.4 per cent to 6,631.

Futures

The Dow futures are suggesting a rise of 15 points. S&P 500 futures are eyeing a gain of 1 point. The Nasdaq futures are eyeing a fall of 11 points. And the SPI futures are eyeing a fall of 33 points tomorrow morning.

Local economic news

Between the week ending 14 March 2020 and the week ending 28 November 2020, payroll jobs decreased by 2.0 per cent, total wages decreased by 2.6 per cent.

Company news

IT service management company DWS Limited (ASX:DWS) says the Foreign Investment Review Board (FIRB) has confirmed to HCL Australia Services Pty. Limited (HCL) that the Treasurer has no objection to HCL’s proposed acquisition of all of the issued ordinary shares in DWS pursuant to the proposed scheme of arrangement (Scheme). In addition, New Zealand’s Overseas Investment Office has also given its permission to proceed with the proposed Scheme and has issued an order allowing HCL to give effect to the proposed Scheme. Shares in DWS Limited (ASX:DWS) closed 0.2 per cent higher at $1.19.  

Cochlear (ASX:COH) says the United States Supreme Court has denied their petition for review of the US Federal Circuit’s decision upholding a Judgment of USD $280 million in patent infringement damages against Cochlear in the lawsuit by the Alfred E. Mann Foundation for Scientific Research (“AMF”) and Advanced Bionics LLC (“AB”).

The ACCC has outlined preliminary competition concerns with Woolworths’ (ASX:WOW) proposal to acquire 65 per cent of PFD Food Services.

Contracting group MACA (ASX:MLD) is set to buy Downer EDI’s Mining West business for an acquisition value of $175 million with approximately $30 million from the unwinding of working capital balances.

IPOs

There were two debuts on the ASX today. Akora Resources (ASX:AKO) started trading today. The exploration and development of iron ore company issue price was $0.25, it started trading at $0.32 and closed at $0.39.

SILK Laser Australian (ASX:SLA) also started trading today, It’s shares were issued at $3.45, it started trading at $3.65 and closed at $3.58.

Best and worst performers

The best-performing sector is Real Estate Investment Trust gaining 0.9 per cent while the sector trailing behind was Energy dropping 2 per cent.

The best performing stock in the S&P/ASX 200 is Reliance Worldwide Corporation (ASX:RWC) rising 4 per cent to $4.40, followed by shares in Shopping Centres Australasia Property Group (ASX:SCP) and Xero (ASX:XRO).

The worst performing stock in the S&P/ASX 200 was Mesoblast (ASX:MSB) dropping 15.2 per cent to $3.85, followed by shares in Altium (ASX:ALU) and Mineral Resources (ASX:MIN).

Asian markets 

Japan’s Nikkei has lost 0.4 per cent Hong Kong’s Hang Seng has shed 0.9 per cent and the Shanghai Composite has gained 0.5 per cent.

Commodities

Gold is trading at US$1,837 an ounce.
Iron ore has lost 3.6 per to $154.37
Iron ore futures are suggesting a rise of 0.1 per cent.
Light crude has lost $0.31 cents to $46.30.
One Australian dollar is buying 75.15 US cents.