ASX 200 (ASX:XJO) midday update: REA and News Corp impress, Link receives takeover offer

Two male ASX 200 analysts stand in an office looking at various computer screens showing share prices

At lunch on Friday, the S&P/ASX 200 Index (ASX: XJO) is on course to end the week in a positive fashion. The benchmark index is currently up 0.6% to 7,471.7 points.

Here’s what is happening on the ASX 200 on Friday:

REA Group quarterly update

Investors have been bidding the REA Group Limited (ASX: REA) share price higher today after it released its first quarter update. For the three months ended 30 September, the property listings company delivered a 35% increase in revenue to $264 million and a 25% lift in EBITDA including associates to $158 million. This was driven by growth across all Australian segments, underpinned by an increase in national listings.

Link receives takeover approach

The Link Administration Holdings Ltd (ASX: LNK) share price is surging higher after it received a takeover approach from Carlyle Group. The private equity firm has tabled a conditional, non-binding indicative proposal to acquire Link for $5.38 per share. This comprises $3.00 cash per share and a pro rata distribution of Link’s shareholding in PEXA Group Limited (ASX: PXA) valued at $2.38 per share. Link is considering the offer but hasn’t granted Carlyle with due diligence at this stage.

News Corp impresses

The News Corp (ASX: NWS) share price is rocketing higher following the release of an impressive first quarter update. The media giant reported an 18% increase in revenue to US$2.5 billion and a 53% jump in EBITDA to US$410 million. One of the drivers of this strong result was its Dow Jones media segment, which recorded its highest quarter revenue and profitability since acquisition.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Friday has been the Link share price with an 11% gain following its takeover approach. The worst performer has been the Clinuvel Pharmaceuticals Limited (ASX: CUV) share price with a 16% decline. This morning Jefferies downgraded the biopharmaceutical company’s shares to a hold rating from buy.

The post ASX 200 (ASX:XJO) midday update: REA and News Corp impress, Link receives takeover offer appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Link Administration Holdings Ltd. The Motley Fool Australia has recommended REA Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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