Tilt Renewables (ASX:TLT) agrees to a takeover: ASX set to open slightly lower

Market Reports

by Rachael Jones

Following mixed leads from US markets, the Australian share market looks set to open slightly lower today. Weekly US Covid-19 death toll has fallen to a four-month low and new infections declined further. Reluctance to get vaccinated one of the biggest risks to virus control efforts, President Joe Biden’s chief medical adviser said. On the commodities front, oil settled near $70/bbl on Friday, supported by production cuts by major oil producers and optimism about a demand recovery in the second half of the year.

Local economic news

The week kicks off on Monday when RBA Governor Lowe gives a speech to the Melbourne Business Analytics Conference in Melbourne at 10.15am AEDT. On Tuesday, Commonwealth Bank Group economists release the Household Spending Intentions survey using Google Trends data for February. Other weekly data releases include, the ANZ-Roy Morgan consumer sentiment index and the ABS payroll jobs and wages data for the second half of February. The RBA’s March 2 Board meeting minutes are also issued on Tuesday. On Wednesday, the preliminary overseas arrivals and departures data for February is released with the ABS’ Covid-19 household survey.
On Thursday, population data is issued for the September quarter. On Friday, preliminary retail spending figures for February are due with CBA Group economists estimating a modest 0.2 per cent lift in sales.

Markets

Wall Street closed mixed on Friday: The Dow Jones Industrial Average gained 0.9 per cent to close at 32,779, the S&P 500 added 0.1 per cent to close at 3943 and the NASDAQ closed 0.6 per cent lower at 13,320.

European markets closed mixed on Friday: London’s FTSE added 0.4 per cent, Paris gained 0.2 per cent and Frankfurt closed 0.5 per cent lower.

Asian markets closed mixed on Friday: Tokyo’s Nikkei gained 1.7 per cent, Hong Kong’s Hang Seng fell 2.2 per cent and China’s Shanghai Composite closed 0.5 per cent higher.

The SPI futures are pointing to a 3 points fall.
On Friday, the Australian share market closed 0.8 per cent higher at 6767.

Company news

Tilt Renewables (ASX:TLT) has entered into a Scheme Implementation Agreement with Powering Australian Renewables and Mercury NZ Limited under which it is proposed that PowAR will effectively acquire Tilt Renewables’ Australian business and Mercury will acquire Tilt Renewables’ New Zealand business. This transaction will be implemented by way of Scheme of Arrangement where Tilt Renewables shareholders will receive NZ$7.80 per share in cash. Tilt Renewables’ decision to enter into the SIA with the Consortium follows a competitive sale process during which Tilt Renewables received multiple binding proposals to acquire the company. Shares in Tilt Renewables (ASX:TLT) closed 0.82 per cent higher at $6.12 on Friday.

Ex-Dividends

Asaleo Care Limited (ASX:AHY) is paying 3 cents fully franked
Austin Engineering (ASX:ANG) is paying 0.2 cents fully franked
Chorus Limited (ASX:CNU) is paying 9.7556 cents unfranked
F.F.I. Holdings (ASX:FFI) is paying 12 cents fully franked
GWA Group Ltd (ASX:GWA) is paying 6 cents fully franked
SG Fleet Group Ltd (ASX:SGF) is paying 7.192 cents fully franked
Think Childcare (ASX:TNK) is paying 12 cents fully franked

Currencies

One Australian Dollar at 8:00 AM was buying 77.57 US cents, 55.76 Pence Sterling, 84.58 Yen and 64.97 Euro cents.

Commodities

Iron Ore has lost 3.1 per cent to US$165.44.
Iron Ore futures suggest a 4.3 per cent fall.
Gold was down $2.80 to US$1720 an ounce.
Silver has lost $0.28 to US$25.91 an ounce.
Oil was down $0.41 to US$65.61 a barrel.