Afternoon (PM) Market Report (2)

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Published on Friday, 16 September 2016 07:00

The Australian market enjoyed a strong rally at open, following a positive lead from the US market overnight.

Friday, 16th September 2016

The ASX index traded at its intraday highs throughout the day to finish slightly below the 5,300-point market, with solid gains across the board. All sectors posted positive results, with health care rising most significantly. The Australian dollar depreciated against the greenback and had mixed results against other major currencies.

The All Ordinaries lifted 59.60 points (1.12%) to 5,396.70 while the S&P/ASX 200 rose 56.80 points (1.08%) to 5,296.70.

JB-Hi-Fi announced the successful completion of the institutional component of its fully underwritten 1 for 6.60 pro rata accelerated renounceable entitlement offer of new ordinary shares at an offer price of $26.20 per New Share. Completion of the Institutional Entitlement Offer represents the first stage of the Company's $394m equity raising, announced on, 13 September 2016. The Institutional Entitlement Offer has raised gross proceeds of $259m. The Retail Entitlement Offer will raise $135m. The Retail Entitlement Offer will open on 21 September 2016 and close on 30 September 2016. JBH added $1.15 (3.99%) to $30.00. Transurban announced that Transurban Finance Company, the Group's financing vehicle, has priced US$550m of senior secured 10.5 year notes (Notes). The Notes priced on 15 September 2016 (New York time) and settlement is expected to occur on 22 September 2016 (New York time), subject to customary closing conditions. All proceeds will be swapped into Australian dollars at a fixed interest rate and will be used to repay upcoming debt maturities, assist with funding its development pipeline and for general corporate purposes. The Notes will rank equally with the Company's existing senior secured debt facilities and will mature in March 2027. TCL climbed 17 cents (1.59%) to $10.85.

The NZX gained 54.27 points (0.75%) to 7,250.51 while the Nikkei rose 114.28 points (0.70%) to close at 16,519.29.

The Australian dollar was last quoted at 75.04 US cents.