Why Brambles, HMC Capital, ResMed, and Rio Tinto shares are rising today

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a big decline. At the time of writing, the benchmark index is down 1.7% to 8,739 points.

Four ASX shares that have managed to avoid the selloff today are listed below. Here’s why they are rising:

Brambles Ltd (ASX: BXB)

The Brambles share price is up almost 2% to $23.13. This is despite there being no news out of the supply chain solutions company on Friday. However, it is possible that some investors see Brambles as a defensive option and a way to avoid the broad market weakness today. Its shares are now up approximately 18% since this time last year.

HMC Capital Ltd (ASX: HMC)

The HMC Capital share price is up 2% to $4.13. Investors have been buying this investment company’s shares after it announced a new strategic partnership which will see KKR-managed funds invest up to $603 million into HMC’s Energy Transition Platform. Management notes that the investment will introduce KKR as a strategic partner alongside HMC in the platform’s existing 652MW operational assets and its significant 5.7GW BESS and wind development pipeline. HMC Capital’s managing director and CEO, David Di Pilla, said: “We are delighted to be working with an experienced global investor of KKR’s calibre. KKR’s investment validates the quality of the Platform we have built and sets the foundation for HMC to play a major role in Australia’s transition to net zero carbon by 2050. KKR’s capital will enable the Platform to materially grow operating capacity, cash flow and progress the strategically valuable development pipeline.”

ResMed Inc. (ASX: RMD)

The ResMed share price is up 2.5% to $38.42. This follows a decent night of trade for the sleep disorder-focused medical device company’s NYSE-listed shares on Thursday. One leading broker that would be supportive of this buying is Morgans. Earlier this week, it upgraded ResMed’s shares to a buy rating with a $47.73 price target. This implies potential upside of over 20%.

Rio Tinto Ltd (ASX: RIO)

The Rio Tinto share price is up 0.3% to $157.55. Investors have been buying the mining giant’s shares after it abandoned its plans to merge with Glencore (LSE: GLEN).  The miner stated: “Rio Tinto is no longer considering a possible merger or other business combination with Glencore plc, as Rio Tinto has determined that it could not reach an agreement that would deliver value to its shareholders.” In response, Glencore said: “The key terms of the potential offer were Rio Tinto retaining both the Chairman and Chief Executive Officer roles and delivering a proforma ownership of the combined company which, in our view, significantly undervalued Glencore’s underlying relative value contribution to the combined group, even before consideration of a suitable acquisition control premium.”

The post Why Brambles, HMC Capital, ResMed, and Rio Tinto shares are rising today appeared first on The Motley Fool Australia.

More reading

• Rio Tinto shares charge higher after Glencore merger collapses
• Rio Tinto confirms no merger with Glencore after review
• Which ASX shares benefit from a stronger AUD?
• 5 things to watch on the ASX 200 on Friday
• Here are the top 10 ASX 200 shares today

Motley Fool contributor James Mickleboro has positions in ResMed. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended HMC Capital and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended HMC Capital. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.