CORPORATE DIVESTITURE – AUSTRALIA

Fairfax revives radio sale talks

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Original article by Darren Davidson
The Australian – Page: 20 : 3-Oct-14

Insiders say Robin Bishop and Darren Keogh of investment banking firm Macquarie are consulting to Fairfax Media on possible asset divestments. The divisions being looked at are the radio stations network and the Domain real estate classifieds business. The former may be sold to 2GB owner Macquarie Radio, despite previous talks on such a deal ending acrimoniously. Domain may be spun off in a sharemarket float, and could have a market capitalisation of up to $A1.8bn. Fairfax is lobbying for reform of media ownership laws that prevent it from moving into certain segments

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, MACQUARIE RADIO NETWORK LIMITED – ASX MRN, MACQUARIE GROUP LIMITED – ASX MQG, REA GROUP LIMITED – ASX REA, DOMAIN PROPERTY GROUP, FAIRFAX RADIO NETWORK PTY LTD, 2GB, MORGAN STANLEY AUSTRALIA LIMITED, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, 21ST CENTURY FOX INCORPORATED, METRO MEDIA PUBLISHING PTY LTD, TRADE ME GROUP LIMITED – ASX TME, ALL HOMES PTY LTD, AUSTRALIA. DEPT OF COMMUNICATIONS, CITIGROUP PTY LTD, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC

NAB pitches $1.7b US bank ahead of major sell-down

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Original article by John Kehoe
The Australian Financial Review – Page: 13 : 22-Sep-14

National Australia Bank (NAB) is believed to be planning a partial IPO of US-based Great Western Bank, which it acquired in 2007. The banking major will retain a stake of around 70 per cent, which is expected to be divested during the 12 months following the IPO. NAB will hold a roadshow for US investors in October 2014, and there are expectations that it could gain around $US1.5bn ($A1.7bn) in total from the sale of Great Western

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, GREAT WESTERN BANK, NEW YORK STOCK EXCHANGE, HOMESIDE LENDING INCORPORATED, CLYDESDALE BANK PLC, YORKSHIRE BANK PLC, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, DEUTSCHE BANK AG, BANK OF AMERICA CORPORATION, MERRILL LYNCH AND COMPANY INCORPORATED, ROYAL BANK OF SCOTLAND GROUP PLC, CITIZENS FINANCIAL GROUP INCORPORATED

BHP says acquisitions not on cards

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Original article by Amanda Saunders
The Australian Financial Review – Page: 17 & 22 : 21-Aug-14

BHP Billiton will focus on expanding its iron ore, copper, coal and petroleum operations if the proposal to demerge its non-core assets proceeds. CEO Andrew Mackenzie says BHP will not being pursuing acquisitions, although acquisitions are likely to form a key part of the spin-off’s growth strategy. Mackenzie also says the demerger will not have any impact on BHP’s future capital management strategy. Meanwhile, BHP aims to reduce cost by a further $US3.5bn over the next three years

CORPORATES
BHP BILLITON LIMITED – ASX BHP,RIO TINTO LIMITED – ASX RIO,CREDIT SUISSE (AUSTRALIA) LIMITED,MACQUARIE GROUP LIMITED – ASX MQG,DEUTSCHE BANK AG

Miner’s spin-off has bumpy birth

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Original article by Peter Ker
The Australian Financial Review – Page: 1 & 11 : 20-Aug-14

BHP Billiton has reported a 2013-14 underlying profit of $US13.4bn, which is 10 per cent higher than previously but lower than most analysts had expected. Meanwhile, UK investors have responded negatively to the group’s proposal to spin off non-core assets into a new listed company. A large sell-off of the new company’s shares is expected, as UK investors are concerned by the fact that it will be listed in Australia and South Africa, rather than the UK

CORPORATES
BHP BILLITON LIMITED – ASX BHP, BILLITON PLC

A leaner BHP is taking shape

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Original article by Barry FitzGerald, Sarah-Jane Tasker
The Australian – Page: 17 : 18-Aug-14

BHP Billiton CEO Andrew Mackenzie is rolling out his "four pillars" strategy of concentrating on the core iron ore, coal, copper and petroleum divisions. A potential hiving-off of other assets into a separately-listed entity will be discussed at the 2013-14 results presentation on 19 August 2014, at which BHP is also tipped to unveil a profit rise of 27% to $US13.8bn ($A14.8bn). The 12-month distribution is forecast to be lifted to above $US1.20 from $US1.16 previously. However a stock repurchasing scheme worth up to $US5bn is now less likely, due to the spin-off move

CORPORATES
BHP BILLITON LIMITED – ASX BHP, CITIGROUP PTY LTD, PENGANA CAPITAL LIMITED

In their cups, miners talk up big asset sales

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Original article by Paul Garvey
The Australian – Page: 18 : 7-Aug-14

Discussions on the sidelines of the "Diggers & Dealers" forum held in early August 2014 in the Western Australian city of Kalgoorlie were marked by speculation about asset sales as well as acquisitions in the mining sector. The deals most spoken about were the divestment by BHP Billiton of its Nickel West smelter, and that by US group Cliffs Natural Resources of the Koolyanobbing iron ore mine. Meanwhile, junior mining companies are set to follow the lead of Northern Star Resources and engage in renewed mergers activity. Among those looking for targets are Sandfire Resources, Regis Resources, Independence Group and Evolution Mining

CORPORATES
NORTHERN STAR RESOURCES LIMITED – ASX NST, SANDFIRE RESOURCES NL – ASX SFR, REGIS RESOURCES LIMITED – ASX RRL, INDEPENDENCE GROUP NL – ASX IGO, EVOLUTION MINING LIMITED – ASX EVN, BHP BILLITON LIMITED – ASX BHP, CLIFFS NATURAL RESOURCES INCORPORATED, DIGGERS AND DEALERS FORUM, PANORAMIC RESOURCES LIMITED – ASX PAN, JINCHUAN NON-FERROUS METALS IMPORT AND EXPORT COMPANY, APOLLO GLOBAL MANAGEMENT LLC, GLENCORE XSTRATA PLC, MINERAL RESOURCES LIMITED – ASX MIN, AQUILA RESOURCES LIMITED, SHANGHAI BAOSTEEL GROUP CORPORATION, AURIZON HOLDINGS LIMITED – ASX AZJ, MOUNT GIBSON IRON LIMITED – ASX MGX, BC IRON LIMITED – ASX BCI, HOT CHILI LIMITED – ASX HCH, COMPANIA MINERA DEL PACIFICO SA

BHP to exit manganese in ‘four pillars’ strategy

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Original article by Sarah-Jane Tasker
The Australian – Page: 18 : 25-Jul-14

BHP Billiton has in recent times signalled plans to focus on iron ore, copper, petroleum and coking coal. This means aluminium, coal and nickel operations are likely to be jettisoned, and there is now also speculation that BHP and fellow resources group Anglo American are negotiating on an exit from their manganese joint venture in South Africa and Australia. BHP holds the majority stake of 60% in the three mines and two processing facilities, including an asset on Groote Eylandt in the Northern Territory

CORPORATES
BHP BILLITON LIMITED – ASX BHP|ANGLO AMERICAN PLC|BARRICK GOLD CORPORATION|X2 RESOURCES PARTNERS LP|GLENCORE XSTRATA PLC

Soul Patts chief blasts attacks on company’s board

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Original article by Andrew White
The Australian – Page: 21 : 22-Jul-14

The Australian Taxation Office has issued a private ruling that states a capital gains tax charge of $A311m would be created by an unwinding of the cross-shareholdings of Brickworks and Washington H Soul Pattinson. Brickworks has 42.7% of Soul Patts and the listed investment company 44.3% of the building materials group. Soul Patts chair Robert Millner has criticised fund management firm Perpetual and activist shareholder Mark Carnegie for pursuing the split plan, noting that it has caused costs of several millions of dollars

CORPORATES
WASHINGTON H SOUL PATTINSON AND COMPANY LIMITED – ASX SOL, BRICKWORKS LIMITED – ASX BKW, PERPETUAL LIMITED – ASX PPT, TPG TELECOM LIMITED – ASX TPM, NEW HOPE CORPORATION LIMITED – ASX NHC, BKI INVESTMENT COMPANY LIMITED – ASX BKI, MILTON CORPORATION LIMITED – ASX MLT, AMP LIMITED – ASX AMP, QBE INSURANCE GROUP LIMITED – ASX QBE, BRAMBLES LIMITED – ASX BXB, TRANSURBAN GROUP LIMITED – ASX TCL, MH CARNEGIE AND COMPANY PTY LTD, AUSTRALIAN TAXATION OFFICE

NAB’s UK exit plan buoyed by TSB surge

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Original article by Richard Gluyas
The Australian – Page: 21 : 23-Jun-14

Lloyds Banking in the UK has successfully hived off its TSB business, which now has a market capitalisation of Stg1.3bn ($A2.35bn). The issue price per share was Stg2.60, but on the listing date of 20 June 2014 the stock closed at $A2.90. Lloyds also said that the initial public offering was 10 times oversubscribed. The news is a boost to the plans of National Australia Bank for selling off its under-performing Clydesdale Bank assets in the UK. Clydesdale has achieved a turnaround as well, to record a March 2013 half-year profit after problem debts declined

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, CLYDESDALE BANK PLC, TSB GROUP PLC, LLOYDS BANKING GROUP PLC, BANK OF ENGLAND, GRUPO SANTANDER, VIRGIN MONEY LIMITED, VIRGIN MONEY PERSONAL FINANCE SERVICE LIMITED, ALDERMORE BANK PLC, SHAWBROOK BANK LIMITED

Shell out: Woodside’s new era

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Original article by Andrew Burrell
The Australian – Page: 21 and 25 : 18-Jun-14

Royal Dutch Shell will receive $US2.68bn ($A2.86bn) from Australian-listed Woodside Petroleum, for 9.5% of the latter’s stock at a price per share of $A36.49. Shell will also divest a tranche of the same size at $A41.35 to institutional investors, and reduce its holding in Woodside to no more than 4.5%. The Australian Taxation Office has given Woodside permission to use franking credits in order to lower the price by 14%. CEO Peter Coleman notes the more efficient capital structure being created by the stock repurchasing move, and says it will have no adverse impact on exploration or acquisitions

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, ROYAL DUTCH SHELL PLC, AUSTRALIAN TAXATION OFFICE, GOLDMAN SACHS AUSTRALIA PTY LTD, CITIGROUP PTY LTD, UBS HOLDINGS PTY LTD, MORNINGSTAR PTY LTD, PLATO INVESTMENT MANAGEMENT LIMITED, PATERSONS SECURITIES LIMITED