Author: roymorgansocial

Affordability likely to stall for 40 years

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Original article by Jacob Greber
The Australian Financial Review – Page: 3 : 29-Aug-17

Housing affordability may not improve for another four decades, according to the Committee for Economic Development of Australia. Factors that may bring about an improvement include increases in capital gains tax and more supply of land for housing. The CEDA also expects the proportion of Australians living in capital cities to rise in coming decades, and notes that this may only serve to increase wealth inequality, while low-income workers will struggle to find accommodation in large cities. The CEDA notes that the housing market appears to be geared to producing homes at a lower rate than is needed, thereby contributing to higher prices and reduced affordability.

CORPORATES
COMMITTEE FOR ECONOMIC DEVELOPMENT OF AUSTRALIA

CSL buys way into cell, gene therapy

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Original article by Sarah-Jane Tasker
The Australian – Page: 19 : 29-Aug-17

CSL has announced that it will spend $US91 million ($A114 million) on the purchase of US-based biotechnology company Calimmune. CSL executive Andrew Nash says the purchase of Calimmune gives it access to skills and technologies in the area of gene and cell-based therapies that it does not currently have. He said that CSL has had its eye on Calimmune, which has operations in both the US and Australia, for about a year.

CORPORATES
CSL LIMITED – ASX CSL, CALIMMUNE INCORPORATED

Visa moves to kill PINs with biometrics

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Original article by Yolanda Redrup
The Australian Financial Review – Page: 19 : 29-Aug-17

Visa hopes it will not be too long before its card users will be able to do away with using PIN number or 16-digit card numbers to conduct transactions. Visa is looking to work with Australian banks to adopt biometric authentication protocols that will allow card users to make transactions by using their fingerprint, with the process aimed at both reducing fraud and cutting down transaction times. Visa’s Joe Cunningham would also like to see greater data sharing between banks and merchants.

CORPORATES
VISA INTERNATIONAL, AUSTRALIAN PAYMENTS CLEARING ASSOCIATION LIMITED

Yancoal’s $3 billion raising shunned

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Original article by Paul Garvey
The Australian – Page: 21 : 29-Aug-17

Institutional investors subscribed for only $US59m worth of shares in Yancoal Australia’s $US1.3bn entitlement offer, which is part of its $US2.35bn ($A3bn) capital raising to finance the acquisition of Rio Tinto’s New South Wales assets. The response to the retail component of the share offer was also subdued, with existing shareholders applying to buy just $US4m worth of shares. As a result, parent company Yanzhou Coal and the bookbuild’s underwriters will be required to meet the significant shortfall.

CORPORATES
YANCOAL AUSTRALIA LIMITED – ASX YAL, COAL AND ALLIED INDUSTRIES LIMITED, RIO TINTO LIMITED – ASX RIO, YANZHOU COAL MINING COMPANY LIMITED, CHINA SHANGDONG INVESTMENT COMPANY LIMITED, CINDA ASSET MANAGEMENT CORPORATION, GLENCORE PLC, WHITEHAVEN COAL LIMITED – ASX WHC, NOBLE GROUP LIMITED, CONTANGO ASSET MANAGEMENT LIMITED – ASX CGA, MERRILL LYNCH (AUSTRALIA) PTY LTD

Telco nets 1million customers

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Original article by Michael Bailey
The Australian Financial Review – Page: 26 : 29-Aug-17

Amaysim Australia has posted a 2016-17 net profit after tax of $A11.5 million, which is seven per cent lower than previously. Amaysim’s statutory earnings increased by 35 per cent to $A33.8 million, while its revenue rose by 29 per cent to $A326.7 million. Shareholders will receive a fully franked final dividend of $A0.051 per share. Amaysim shares closed up five per cent at $A1.75 on 28 August.

CORPORATES
AMAYSIM AUSTRALIA LIMITED – ASX AYS, CLICK ENERGY, SINGTEL OPTUS PTY LTD, AUSBBS

Rivals brace for battle on the streaming front

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Original article by Darren Davidson
The Australian – Page: 6 : 29-Aug-17

The local launch of the CBS All Access subscription video-on-demand service is likely to be a key part of the strategy of Ten Network’s new owner. The fee-based service is expected to complement Ten’s existing "catch-up" streaming service, and CBS intends to make its TV shows available online a week after they are broadcast on Ten’s linear channels. CBS may also seek Australian sports broadcasting rights for its streaming service.

CORPORATES
TEN NETWORK HOLDINGS LIMITED – ASX TEN, CBS CORPORATION, CBS ALL ACCESS, STAN ENTERTAINMENT PTY LTD, NINE NETWORK AUSTRALIA LIMITED, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, FAIRFAX MEDIA LIMITED – ASX FXJ, NETFLIX INCORPORATED, NATIONAL FOOTBALL LEAGUE, SPECIAL BROADCASTING SERVICE (SBS), FOXTEL MANAGEMENT PTY LTD, SHOWTIME, VIACOM INCORPORATED, NATIONAL AMUSEMENTS INCORPORATED, CBS STUDIOS INTERNATIONAL

Despite the gloom, this is the best reporting season in years

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Original article by Patrick Commins
The Australian Financial Review – Page: 11 & 26 : 29-Aug-17

Financial market analysts argue that negative perceptions of the August 2017 reporting season are not justified. Jason Steed of JP Morgan notes that 123 stocks in the S&P/ASX 200 Index have risen so far in August, while he adds that investors’ perceptions of the reporting season are often influenced by a handful of stocks that post large declines in the wake of their earnings results. Hasan Tevfik of Credit Suisse says the capital expenditure intentions of ASX 200 companies also demonstrates the strength of the reporting season.

CORPORATES
STANDARD AND POOR’S ASX 200 INDEX, JP MORGAN AUSTRALIA LIMITED, CREDIT SUISSE (AUSTRALIA) LIMITED, BLUESCOPE STEEL LIMITED – ASX BSL, HEALTHSCOPE LIMITED – ASX HSO, INSURANCE AUSTRALIA GROUP LIMITED – ASX IAG, QBE INSURANCE GROUP LIMITED – ASX QBE, SUNCORP GROUP LIMITED – ASX SUN, TELSTRA CORPORATION LIMITED – ASX TLS, FORTESCUE METALS GROUP LIMITED – ASX FMG, WOODSIDE PETROLEUM LIMITED – ASX WPL

Super non-payment drops to $2.8 billion, says ATO

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Original article by Joanna Mather
The Australian Financial Review – Page: 5 : 29-Aug-17

The Australian Taxation Office estimates that workers are missing out on around $A2.85 billion worth of superannuation payments each year. The ATO contends that the gap between what workers should receive under the superannuation guarantee rules and what they have actually received is due to factors such as unscrupulous employers and firms going into liquidation. Its figure is significantly lower than the $A5.6 billion estimated by Industry Super Australia. The Senate Economics Committee recently called for greater fines for employers found not to be complying with superannuation guarantee rules.

CORPORATES
AUSTRALIAN TAXATION OFFICE, INDUSTRY SUPER AUSTRALIA PTY LTD, AUSTRALIA. SENATE STANDING COMMITTEE ON ECONOMICS, AUSTRALIA. DEPT OF FINANCE

APRA probe risks CBA rating

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Original article by Jonathan Shapiro, Phillip Coorey, James Eyers
The Australian Financial Review – Page: 1 & 6 : 29-Aug-17

The Australian Prudential Regulation Authority will establish an independent panel to review the Commonwealth Bank of Australia’s governance, culture and accountability. CBA CEO Ian Narev has described the review, which follows a series of scandals at the nation’s largest bank, as a "positive and constructive step". However, ratings agencies S&P Global and Fitch have warned that CBA’s credit rating could be downgraded if the review results in any adverse findings. Shadow treasurer Chris Bowen maintains that a royal commission into the entire banking sector is needed.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, S&P GLOBAL RATINGS, FITCH RATINGS LIMITED, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, WESTPAC BANKING CORPORATION – ASX WBC, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, STANDARD AND POOR’S ASX 200 INDEX, WILSON ASSET MANAGEMENT, FINANCE SECTOR UNION

Media laws gift Ten from News to CBS

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Original article by Max Mason
The Australian Financial Review – Page: 1 & 14 : 29-Aug-17

The deal for US-based CBS to acquire Ten Network will not require changes to cross-media ownership laws, unlike the rival bid from Lachlan Murdoch and Bruce Gordon. The deal only requires approval from Ten’s creditors, a court and the Foreign Investment Review Board. Federal Opposition Leader Bill Shorten says the deal means cross-media ownership reforms are not necessary. Fairfax Media CEO Greg Hywood rejects Shorten’s claim that the proposed media reforms were primarily aimed at saving Ten, arguing that they are intended to ensure that the local media sector remains competition in a changing media landscape.

CORPORATES
TEN NETWORK HOLDINGS LIMITED – ASX TEN, CBS CORPORATION, AUSTRALIAN LABOR PARTY, FAIRFAX MEDIA LIMITED – ASX FXJ, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, NEWS CORPORATION – ASX NWS, WIN CORPORATION PTY LTD, CBS ALL ACCESS, NETFLIX INCORPORATED, STAN ENTERTAINMENT PTY LTD, 21ST CENTURY FOX INCORPORATED, CANWEST GLOBAL COMMUNICATIONS CORPORATION, ONE NATION PARTY, AUSTRALIAN BROADCASTING CORPORATION, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, KORDA MENTHA AND COLLEAGUES PTY LTD