The Australian share market began a gradual ascent from midday today. There was some sector rotation out of the financials and into the resources space – largely on the back of increasing talk of a possible takeover of Woodside Petroleum by mining giant BHP Billiton – BHP Billiton has so far, however, denied any knowledge of the transaction.
The S&P/ASX200 Index lifted 31 points to close at 4,971. On the futures market, the SPI is up 35 points.
Turning to company news: West Australian Newspapers (ASX:WAN) proxy voters have voted in favour of the takeover of the Seven media Group. At an extra-ordinary meeting today shareholders were told to back the acquisition ahead of a shareholder vote. Independent experts Ernst and Young advised the deal was fair and reasonable for WAN shareholders. If completed, the newly formed Seven West Media will become the nation’s largest media group. Shares in WAN lost 1.31 per cent to close at $5.29.
And Seven Group’s (ASX:SVW) David Leckie has been accused of calling the board of West Australian Newspapers a collection of dopes and idiots. It came as Mr Leckie made his appearance today as a witness in the court case involving former employee James Warburton. Mr Leckie denies the allegations. The case centres around Seven’s argument that the terms of Mr Warburton's contract as well as his participation in a management equity plan should prevent him from starting at Ten until October next year. Shares in Seven Group closed 0.76 per cent firmer at $9.29.
Also making news: Rio Tinto (ASX:RIO) says it has assumed control of Riversdale after taking its interest to 52.6 per cent earlier today. Its stake is expected to rise further before the offer closes on April 20. And after almost three years in the top job, the chairman of Minara Resources (ASX:MRE), Peter Coates, resigned with immediate effect today. Deputy chairman Malcolm Macpherson will assume the role until a replacement is found.
In other news: Leighton Holdings Ltd (ASX:LEI) has launched a 757 million dollar capital raising after slashing its full year guidance by more than 900 million dollars. And despite BHP (ASX:BHP) denying any basis for speculation, Woodside (ASX:WPL) shares surged today on reports that the world’s biggest miner is planning a takeover of the energy giant. Meanwhile WA Premier Colin Barnett has told an energy conference that he’s opposed to an acquisition.
To the best and worst performing sectors now: The best performing sector today was Materials gaining 340 points to close at 15,046. The worst performing sector was Real Estate Investment Trust falling 13 points to close at 863.
The best performing stock in the S&P/ASX200 was Infigen...shares rising 13.33 per cent to close at 42.5 cents. Shares in Intrepid and Southern Cross Media also closed in positive territory.
The worst performing stock was Goodman Group, shedding 4.73 per cent to close at 70.5 cents. Shares in James Hardie and Aristocrat also closed weaker today.
In commodities, gold is trading at $US1,472 an ounce and Light crude is 16 cents firmer at $US112.95 a barrel.
