Stocks of the Hour: Suncorp, Westpac & JB Hi-Fi

Company News

by Michael Luu

LGIAsuper is set to acquire the Australian Wealth division of Brisbane-based financier Suncorp Group (ASX:SUN) for $45 million. The takeover will enable LIGAsuper’s access to $6.4 billion in funds under management and 137,000 subscribers. The payment package consists of a fixed amount of $26.6 million and the rest is in regulatory capital.

Shares in Suncorp Group (ASX:SUN) are trading 0.4 per cent higher at $10.46.

Westpac (ASX:WBC) has reached an out-of-court settlement agreement worth $30 million, with the company’s life insurance customers represented by Shine Lawyers. Shine Lawyers litigated against the big-four bank on grounds of misleading conduct, alleging Westpac’s financial advisors were not counseling in the best interests of their customers and the bank overcharged tens of thousands of customers by up to 4.5 per cent. The settlement of the class action also includes a waiver of any liability for Westpac.

Shares in Westpac Banking Corporation (ASX:WBC) are trading 1.1 per cent higher at $25.27.

JB Hi-Fi (ASX:JBH)’s CEO Richard Murray is set to depart for fashion & lifestyle conglomerate Premier Investments (ASX:PMV), after 18 years at the distributor of digital goods and electrical appliances. 

News of the outbound chief executive has hampered JB Hi-Fi's investor confidence, as Shares in JB Hi-Fi (ASX:JBH) are trading 3.3 per cent lower at $45.95.

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