The IGO Ltd (ASX: IGO) share price is frozen today at $10.63 per share.

The S&P/ASX 200 Index (ASX: XJO) resource explorer and producer requested a trading halt today “pending an announcement in relation to a potential acquisition“.

What other ASX resource share is frozen today?

Not coincidentally, the Western Areas Ltd (ASX: WSA) share price is halted alongside the IGO share price today as well.

In its ASX announcement this morning, Western Areas said it was requesting the pause in trading “pending an announcement by the company regarding a potential change of control transaction involving the company”.

The Motley Fool first reported on early news of IGO’s interest in acquiring rival Western Areas in exchange for shares back on 19 August.

At the time IGO acknowledged its interest, saying, “IGO confirms that it is in preliminary discussions with Western Areas in relation to a change of control proposal and the basis upon which engagement and due diligence could proceed.”

The IGO share price tumbled 6% that day while Western Areas shares leapt 13% higher.

Now, as the Australian Financial Review reports, IGO has “agreed an all-cash takeover offer” for Western Areas. “It is understood the bid values Western Areas at more than $3.30 a share.”

Western Areas was trading for $3.24 when markets closed yesterday.

According to the AFR, “IGO’s expected to fund the bid with some new debt and existing cash reserves. The bid would value Western Areas at more than $1.1 billion. Western Areas is expected to tell shareholders to accept the offer.”

Stay tuned!

IGO share price snapshot

The IGO share price has been charging higher over the past 12 months, up 66%. By comparison the ASX 200 has gained 9% since this time last year.

Over the past month IGO shares are up 8%.

Earlier this month, broker Citi upgraded the company’s shares to a buy rating from neutral with a target for the IGO share price of $12.40.

The post Here’s why the IGO (ASX:IGO) share price is not going anywhere today appeared first on The Motley Fool Australia.

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• Is the IGO (ASX:IGO) share price a better buy than Allkem?
• Why Hipages, IGO, Talga, and Vulcan shares are storming higher
• IGO (ASX:IGO) share price storms higher on broker upgrade
• ASX 200 (ASX:XJO) midday update: Sydney Airport takeover update, Santos falls
• Top ASX shares to buy in December 2021

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The Commonwealth Bank of Australia (ASX: CBA) share price is currently up, slightly. Australia’s biggest bank increased its interest rate yet again. That’s despite the S&P/ASX 200 Index (ASX: XJO) being down more than 0.10%.

Interest rates are going higher at the big four bank for both owner-occupiers and investors for the fourth time in the last several weeks.

CBA hikes interest rates

For owner-occupiers, CBA’s fixed rate increased by 0.05% from 2.49% to 2.54%. The 3-year fixed rate rose 0.15% from 2.99% to 3.14%. The 4-year fixed rate grew 0.25% from 3.09% to 3.34% according to RateCity.

To put into context how much the rates have changed, since 14 October, Rate City notes CBA’s 3-year rate has increased by 0.95%, or 95 basis points.

Whilst today’s increase is not large, RateCity.com.au research director, Sally Tindall commented that the hikes are adding up:

The spike in the cost of funding has sent fixed rates soaring, with both CBA and Westpac hiking fixed rates four times in the last two months. As a result, CBA’s 4-year rate has risen by over a full percentage point in this time.

CBA’s fixed rates with terms of three years and more are now higher than pre-pandemic levels.

These fixed rates hikes aren’t isolated to the big four banks. The rate rises are coming in across the board from lenders big and small and we expect them to continue.

Anyone in CBA’s queue for a fixed rate who didn’t pay a rate lock fee will be particularly grumpy at today’s news.

How much will borrowers be paying now?

According to RateCity, the average borrower taking out a $500,000, 3-year fixed rate loan with CBA today will be paying $250 more a month than someone who took out the same loan two months ago.

In other words, they’ll have to pay a total of $3,000 a year extra, which is a sizeable amount of most Aussie budgets.

Global interest rates are heading higher too

The US Federal Reserve has signalled that it’s going to be removing emergency support from the economy even sooner than previously expected.

In the most recent Federal Open Market Committee (FOMC) statement, it was noted that the progress on vaccinations and indicators of economic activity and employment have continued to strengthen. It’s expecting further economic activity gains and strong employment, as well as a reduction of inflation.

The Committee decided to reduce the monthly pace of its net asset purchases by US$20 billion for Treasury securities and US$10 billion for agency mortgage-backed securities. COVID-era bond purchases are planned to end in March.

As reported by various media around the world, including Reuters, there could be as many as three rate hike of 0.25% rises by the end of 2022.

The Fed Chair Jerome Powell said:

The economy no longer needs increasing amounts of policy support. In my view, we are making rapid progress toward maximum employment.

CBA share price snapshot

Despite the 10% drop of CBA shares over the last month, it is still up 16% in 2021.

The post CBA (ASX:CBA) share price up amid another loan rate hike appeared first on The Motley Fool Australia.

More reading

• ASX 200 (ASX:XJO) midday update: CSL sinks, Qantas’ $1.1bn+ first half loss
• Qualitas (ASX:QAL) shares are hitting the ASX boards today following its IPO
• 5 things to watch on the ASX 200 on Thursday
• Here are the top 10 ASX shares today
• Here are the 3 most heavily traded ASX 200 shares this Wednesday

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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At lunch on Thursday, the S&P/ASX 200 Index (ASX: XJO) is off its intraday lows but still trading lower for the day. The benchmark index is currently down 0.2% to 7,312.4 points.

Here’s what is happening on the ASX 200 today

CSL share price sinks after completing institutional placement

The CSL Limited (ASX: CSL) share price is sinking following the completion of its institutional placement. The biotherapeutics giant raised a total of US$4.5 billion (A$6.3 billion) at A$273.00 per new share. This is a discount of 8.2% to its last close price. Management advised that the placement received strong support from existing shareholders and new investors. The proceeds will support the acquisition of Vifor Pharma for US$12.3 billion (A$17.2 billion).

Qantas market update

The Qantas Airways Limited (ASX: QAN) share price is falling today following the release of the airline operator’s market update. CEO Alan Joyce revealed that that Qantas has faced “one of the worst halves of the entire pandemic.” As a result, the company is expecting to post a loss exceeding $1.1 billion during the first half. One positive, though, is that Qantas’ balance sheet has improved during the half despite this.

BHP-Woodside deal given ACCC thumbs up

The merger of the BHP Group Ltd (ASX: BHP) petroleum assets with Woodside Petroleum Limited (ASX: WPL) was given a boost today. This morning the Australian Competition and Consumer Commission (ACCC) revealed that it will not oppose the proposed merger. ACCC chair Rod Sims commented: “We found that post-acquisition, Woodside would continue to face competition from a range of suppliers of domestic gas, including major producers Chevron and Santos, and from several other smaller suppliers including Shell and ExxonMobil.”

Best and worst ASX 200 performers

The best performer on the ASX 200 on Thursday has been the Mesoblast limited (ASX: MSB) share price with a 12% gain. This follows an update on its Phase 3 program of rexlemestrocel-L in patients with chronic low back pain (CLBP). The worst performer has been the CSL share price with an 8% decline following its capital raising.

The post ASX 200 (ASX:XJO) midday update: CSL sinks, Qantas’ $1.1bn+ first half loss appeared first on The Motley Fool Australia.

More reading

• CBA (ASX:CBA) share price up amid another loan rate hike
• BHP (ASX:BHP) share price slips as ACCC gives all-clear for Woodside deal
• CSL (ASX:CSL) share price down 8.5% after raising US$4.5bn
• Qantas (ASX:QAN) share price on watch after ‘one of the worst halves of the entire pandemic’
• Qualitas (ASX:QAL) shares are hitting the ASX boards today following its IPO

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 and has recommended CSL Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. 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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Bitcoin (CRYPTO: BTC) has sunk 25% since its peak just over a month ago.

The sell-off seemed to be triggered by worries that it has shifted from an inflation-resistant safe haven to a risk asset that correlates to the stock market.

And with volatile commodities like cryptocurrencies, once a few people start selling, others follow, trying to stop further losses.

“The recent selloff was triggered by a wider risk-off sentiment that also impacted many areas of global stock markets,” said DeVere Group chief Nigel Green.

“It occurred as inflation is running hot and, therefore, encouraging central banks to tighten monetary policies, putting at risk the liquidity that has benefitted many asset classes, including Bitcoin.”

Stop giving Bitcoins away

Green warned investors to stop flogging off their Bitcoins, because it’s only making already wealthy people even richer.

“Wealthy, long-term crypto investors typically benefit from spooked panic-sellers by buying their digital currencies on the cheap to enhance their investment portfolios,” he said.

“Doesn’t a Bitcoin price dip seem especially beneficial to those such investors during these times of worryingly high inflation?”

He added that deep-pocketed cryptocurrency investors always buy the dips.

“This is because they know that digital, global, borderless, decentralised money is, clearly, the future,” said Green.

“Bitcoin has almost doubled in value since January 2021. How many other investments can say that?”

Green cited the fact that the third-largest holder of Bitcoin bought more than US$150 million worth during the current correction.

Yes, 2021 was as volatile as any other year for cryptocurrency’s flag bearer. But this up and down nature is taken advantage of by those who top up their wallets.

“Could this explain why so many of them send out ‘warning shots’ about selling crypto when things are a bit turbulent on social media? It seems very likely,” said Green.

“Those Bitcoin panic sellers are practically giving away their cryptocurrencies to wealthy buyers who accumulate, accumulate, accumulate.”

Bitcoin will return as a safe haven

Despite its behaviour shifting in recent weeks, in the long run Green believes Bitcoin will return to its role of a safe haven against inflation.

This is because Bitcoin is forever limited to a maximum circulation of 21 million coins.

“In this inflationary period, Bitcoin has outperformed gold, which has been almost universally hailed as the ultimate inflation hedge – until now.”

Green advised investors to hold onto their Bitcoin with a long-term perspective.

“Prices of Bitcoin and other cryptos can drop by 10% or more in a matter of hours. Indeed, they often do. This is why you need to have a properly diversified portfolio to mitigate risks,” he said.

“History shows that Bitcoin gains have been enormous for those who hold.”

The post This Bitcoin (CRYPTO:BTC) crash is a Christmas gift for the rich appeared first on The Motley Fool Australia.

More reading

• World first: Aussie Sushi Sushi store on market for $1 million in Bitcoin
• Is Bitcoin a good inflation edge?
• 3 reasons this crypto veteran thinks Bitcoin (CRYPTO:BTC) is positive for the environment
• Aussie crypto sector tipped to be worth $68 billion this decade
• After hitting new record highs in 2021, what’s next for Bitcoin (CRYPTO:BTC) in 2022?

Motley Fool contributor Tony Yoo owns Bitcoin. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and recommends Bitcoin. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The Corporate Travel Management Ltd (ASX: CTD) share price will be one to watch on Friday when it returns from its trading halt.

This follows news that a number of leading brokers have responded particularly positively to its acquisition plans.

Why is the Corporate Travel Management share price halted?

On Wednesday, the Corporate Travel Management share price was placed into a trading halt whilst it sought to raise $100 million via a $75 million institutional placement and a $25 million share purchase plan.

The $75 million placement will be undertaken at $21.00 per new share, which represents a 5.8% discount to the Corporate Travel Management share price at the close of play on Tuesday.

The company is raising these funds after entering into a binding agreement to acquire the Australia and New Zealand corporate and entertainment travel businesses of Helloworld Travel Limited (ASX: HLO).

Based on the performance of these businesses prior to the pandemic, management expects the deal to be approximately 3% earnings per share accretive excluding synergies and 7% including full run-rate synergies.

Broker response

In response to the news, this morning the team at Macquarie Group Ltd (ASX: MQG) upgraded Corporate Travel Management’s shares to an outperform rating with an improved price target of $24.70.

Based on the latest Corporate Travel Management share price, this implies potential upside of just under 11% for investors.

According to the note, the broker is a fan of the deal and believes the acquisition will be complementary to the company’s existing operations. In light of this and its trading update, Macquarie has upgraded its earnings per share forecasts through to FY 2024.

Elsewhere, the team at UBS has retained its buy rating and lifted its price target to $27.75.

UBS notes that the acquisition provides the opportunity to build further scale in its core Australian operations. Overall, the broker feels the company is “well positioned to leverage the expected recovery in 2022 and beyond.”

The post The Corporate Travel (ASX:CTD) share price will resume trading tomorrow. Here’s what you need to know appeared first on The Motley Fool Australia.

More reading

• Why Challenger, Helloworld, Lake Resources, and Strike Energy are charging higher
• ASX 200 (ASX:XJO) midday update: CSL upgraded, Westpac AGM update
• Helloworld (ASX:HLO) share price surges 10% on $175m asset sale
• Why is the Corporate Travel Management (ASX:CTD) share price halted?
• Why has the Webjet (ASX:WEB) share price had such a lousy start to December?

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 and has recommended Helloworld Limited. The Motley Fool Australia owns and has recommended Helloworld Limited. The Motley Fool Australia has recommended Corporate Travel Management Limited and Macquarie 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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The Immutep Ltd (ASX: IMM) share price is rising today after news of a deal with a European company.

Shares in Immutep were swapping hands at 47.5 cents in early morning trade, up 1.06%.

Let’s take a look at what may be influencing the Immutep share price today?

What did Immutep announce?

Immutep is a biotech company developing a treatment for autoimmune diseases and cancer.

Today, the company advised it has signed an agreement with Northway Biotech to manufacture an antibody suppressor known as IMP761.

IMP761, currently at the preclinical stage, works to silence memory T cells that gather at disease sites.

The company has tested the product against autoimmune diseases including arthritis to prove the concept.

As part of the agreement with Northway Biotech, the European manufacturer will produce IMP761 in large scale bioreactors.

Once this upscale is complete, the product will be used for Immutep’s clinical trial of IMP761.

Immutep said the production would take place at Northway’s facility in Vilnius, Lithuania. In the future, the agreement may be extended to include commercial supply.

Comment from management

Commenting on the agreement that may be driving the Immutep share price higher, CEO Marc Voight said:

We are very excited to be partnering with Northway Biotech to develop a GMP manufacturing process for IMP761.

We are very pleased to be moving IMP761 towards clinical trials.

Immutep share price snap shot

The Immunotep share price has climbed 10% in the past 12 months, rallying 13% year to date.

The biotech company’s shares dived nearly 21% in the past month but are holding steady in the past week.

In comparison, the S&P/ASX 200 Health Care (ASX:XHJ) index is down 5% today and has risen nearly 2% in the year to date.

Immutep has a market capitalisation of more than $405 million at the time of writing.

The post Here’s why the Immutep (ASX:IMM) share price is up today appeared first on The Motley Fool Australia.

More reading

• Immutep (ASX:IMM) share price slips amid trial safety update

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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Bitcoin (CRYPTO: BTC) is currently trading for US$48,993 (AU$68,413). That means if you’re sitting on 14.6 bitcoins you could be the proud owner of the Sushi Sushi outlet, located on Cavill Avenue in Surfers Paradise, Queensland.

If you’re looking to pay the $1 million in cash instead of Bitcoin, you’re out of luck. The Sushi Sushi retailer is the first in the world to offer its store for sale for crypto.

Prime location and an NFT

The prospective buyer will get more than just the bricks and mortar location for their Bitcoin. The company’s CEO, Scott Meneilly, a self-proclaimed crypto enthusiast, is also throwing in a non-fungible token (NFT).

As The Australian reports, he’s hoping “a craze in ‘Bored Apes’ and ‘Crypto Pugs’ will translate into real-world success”.

The future owner won’t have to run the store, that’s all taken care of. For 14.6 bitcoins (at current prices) they will receive all future profits, and not be liable for any losses.

Meneilly said that despite the fact NFTs are “sweeping the globe” they remain elusive to most people.

According to Meneilly:

We wanted to put a flag in the ground and move as quickly as the technology space is moving, and selling a store with crypto was a great way to let people know we are serious about playing in this space. We see a massive opportunity in using blockchain, and we felt that selling a franchise store was a great place to start.

Meneilly added: “There are billions of dollars in crypto currencies and people are looking to use their crypto and transfer that wealth into more traditional investment opportunities.”

Bitcoin and cryptos going mainstream

In 2021, Bitcoin and the wider world of altcoins took some big steps towards mainstream adoption.

Ian Lowe, CEO of crypto wealth platform Dacxi, told The Motley Fool: “Cryptocurrency’s role is evolving. Our research shows that the vast majority, 56%, of investors in Australia are investing in cryptos with long-term goals in mind.”

With this evolving role for Bitcoin and altcoins in mind, on 3 November Commonwealth Bank of Australia (ASX: CBA) became the first Aussie bank to offer its customers the ability to buy, sell and hold cryptocurrencies via CommBank’s app.

Customers can trade up to 10 selected cryptos including, of course, Bitcoin.

The post World first: Aussie sushi restaurant on market for $1 million in Bitcoin appeared first on The Motley Fool Australia.

More reading

• Is Bitcoin a good inflation edge?
• 3 reasons this crypto veteran thinks Bitcoin (CRYPTO:BTC) is positive for the environment
• Aussie crypto sector tipped to be worth $68 billion this decade
• After hitting new record highs in 2021, what’s next for Bitcoin (CRYPTO:BTC) in 2022?
• Bitcoin (CRYPTO:BTC) and Ethereum fall hard again. What’s going on?

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin. The Motley Fool Australia has no position in any of the stocks mentioned. 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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This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

Gas fees — or the fees paid to process and validate transactions in a crypto ecosystem — have become a huge problem for the Ethereum (CRYPTO: ETH) blockchain. What was once an annoyance is now a very real cost, with transactions costing $100 or more just for simple acqusitions. 

Gas fees for the proof-of-work blockchain are a standard feature, but for Ethereum they’re starting to drive developers and users to other cryptocurrencies. Until a transition to a proof-of-stake transaction process is completed in 2022, gas fees will be high and Ethereum doesn’t have a great answer to cryptocurrencies offering lower fees and faster transaction times. And these alternative cryptocurrencies are Ethereum’s biggest competition. 

Gas as a leading indicator

The high cost of gas fees earlier this year was initially a positive sign for Ethereum. It meant there was so much demand on the blockchain that miners could charge high fees to complete transactions. High fees are correlated with high demand, and more demand on a crypto blockchain is a good thing, or so it would seem. 

The problem is that high-enough gas fees will push projects to lower-cost networks. Non-fungible token (NFT) projects are booming on Solana (CRYPTO: SOL) as a result of lower transaction costs and an improving suite of tools for developers. High-value NFTs are still on Ethereum, but a project selling an NFT for $100 would make little sense on Ethereum today due to gas fees potentially costing as much as the NFT itself. 

This brings us to the problem for Ethereum ahead of a proof-of-stake upgrade. The price of gas is high, but if the price of gas falls, it would likely be an indicator that transaction volume is down because users are moving transactions elsewhere. You can see below that transaction volume is actually flat over the past six months, despite more people getting involved in crypto. For perspective, Coinbase (NASDAQ: COIN) said that its number of monthly transacting users has jumped nearly 4x in the last year from 2.1 million to 7.4 million in the third quarter of 2021.

Ethereum average gas price data by YCharts.

This is a Catch-22 for Ethereum. If gas fees are high, it’s an indication of high demand, but if gas fees go down, it could indicate that crypto developers and users have moved elsewhere, taking their demand with them. 

The developer challenge

I don’t think there will be one cryptocurrency to rule them all, long term. Some projects will live on one blockchain while others will live on another. But Ethereum had a clear advantage over upstarts like Solana and Cardano (CRYPTO: ADA) as recently as this summer, and now smaller cryptocurrencies are catching up. 

If developers move their projects to a different crypto blockchain, it will undermine the value of Ethereum. As someone who has bought NFTs on Ethereum and Solana, I would prefer a Solana project over an Ethereum project in a heartbeat. The longer that gas fees are high, the more people will agree with that assessment. 

Crypto’s utility moment

At a time when more and more people are coming on board with cryptocurrency and NFTs, and other projects are finding real utility in the market, Ethereum is facing transaction costs that are untenable in the long term. That’s an indication of high demand on the network, but it also means that competitors will be selling themselves as lower-cost blockchains, and that’s a compelling feature for those new to cryptocurrency today. 

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

The post Gas fees could be Ethereum’s kryptonite appeared first on The Motley Fool Australia.

More reading

• What crypto investors should know about these ‘Ethereum killers’
• Aussie crypto sector tipped to be worth $68 billion this decade
• Ethereum (CRYPTO:ETH) is up 419% in 2021. Here’s what’s ahead for 2022
• Bitcoin (CRYPTO:BTC) and Ethereum fall hard again. What’s going on?
• After a wild 2021, what can crypto investors expect in 2022?

Travis Hoium owns Ethereum and Solana. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Ethereum. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

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The Credit Clear Ltd (ASX: CCR) share price is plummeting after it announced that it’s undergoing an acquisition worth upwards of $46 million.

To fund the transaction, the company is conducting a $29.5 million capital raise.

At the time of writing, the Credit Clear share price is 49 cents, 9.26% lower than its previous close.

Let’s take a closer look at the news that’s driving the financial services technology company’s stock downwards.

Credit Clear share price flops on new acquisition

It’s not a good day for the Credit Clear share price despite the company announcing that its acquiring debt recovery solution provider, ARMA Group Holdings.

Over financial year 2021, ARMA reported $15.5 million of revenue and $6.4 million of earnings before interest, tax, depreciation, and amortisation (EBITDA).

According to Credit Clear, the acquisition will provide more than 400 new active clients and a 140% boost to its revenue.

That’s expected to see Credit Clear bringing in $26.5 million in normalised, unaudited, pro-forma revenue on a financial year 2021 basis. The company also expects that its normalised, unaudited, pro-form EBITDA will increase to $3.9 million.

Finally, purchasing ARMA will help Credit Clear’s technology reach further into the Australian market. It will also speed up its adoption in the receivables management industry.

Credit Clear will be paying $46 million for the acquisition, plus earnout payments.

Of that $46 million, 40% will be paid in scrip and the other 60% in cash.

To fund the cash component, the company has undergone a $25.5 million placement. Within the placement, new shares were offered for 40 cents apiece.

A share purchase plan is expected to see another $4 million raised at the same offer price.

The scrip consideration is contingent on shareholder approval, which the company hopes to get in January.

Following the acquisition, ARMA founders, Andrew Smith and Shane Ashton will continue to manage the business. Andrew Smith will also be welcomed to the Credit Clear board.

What did management say?

Credit Clear CEO, David Hentschke commented on the news driving the company’s share price lower today, saying:

Credit Clear is at the forefront of a major global transformation in the way businesses interact with their customers. The ARMA acquisition provides us an opportunity to deploy this leading digital technology across ARMA’s significant existing client base and to win considerable new business together.

The post Credit Clear (ASX:CCR) share price tumbles 9% on acquisition news appeared first on The Motley Fool Australia.

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• Why the IDT Australia (ASX:IDT) share price is crashing 37% lower today
• Centuria Industrial REIT (ASX:CIP) share price lifts on valuation surge
• BHP (ASX:BHP) share price slips as ACCC gives all-clear for Woodside deal
• Here’s why the Vicinity Centres (ASX:VCX) share price is gaining today
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Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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The IDT Australia Limited (ASX: IDT) share price is crashing down to Earth on Thursday morning.

At the time of writing, the pharmaceutical manufacturing company’s shares are down 37% to 30 cents.

Why is the IDT Australia share price crashing today?

Investors have been selling down the IDT Australia share price today after it was dealt a bitter blow.

Earlier this year, the company announced that it successfully manufactured an mRNA drug product. This made IDT the first in Australia to manufacture a cGMP mRNA drug product.

In light of this, there were hopes that this would support its Australian Government Approach To Market submission to establish an onshore mRNA manufacturing capability (ATM).

However, this morning the Australian Government has confirmed that IDT’s ATM submission has not been selected to progress to the next stage of the process.

IDT’s CEO, Dr David Sparling, commented: “Whilst we are disappointed in the outcome of the ATM process, IDT has developed and progressed several alternative strategic options. The Company has successfully delivered on the Monash Institute of Pharmaceutical Sciences (MIPS) COVID-19 mRNA receptor binding domain vaccine candidate project, being Australia’s first locally manufactured cGMP mRNA finished product and clearly showcases IDT’s manufacturing capabilities in this regard.”

What’s next?

Dr Sparling notes that the company remains in the running for the Manufacturing Collaboration Stream Grant Opportunity.

“IDT is now sterile licenced and is maintaining its sterile facilities in a state of readiness to accept COVID-19 vaccine content at the Government’s discretion. The Company is also waiting to receive feedback on its submission to the Australian Government’s $800m Modern Manufacturing Initiative (MMI) Manufacturing Collaboration Stream Grant Opportunity,” Dr Sparling added.

Positively, the company also stressed that the proposal is unaffected by the outcome of the ATM process. It will provide a market update if and when additional information comes to hand.

The post Why the IDT Australia (ASX:IDT) share price is crashing 37% lower today appeared first on The Motley Fool Australia.

More reading

• Why is the IDT (ASX:IDT) share price halted today?
• IDT (ASX:IDT) share price swings as CEO lauds mRNA tech in fight against Omicron
• The Starpharma (ASX: SPL) share price surges on Vietnam launch
• IDT Australia (ASX:IDT) share price rockets 40% on COVID vaccine update

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. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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