Many of Australia’s top brokers have been busy adjusting their financial models again, leading to the release of a large number of broker notes this week.

Three broker buy ratings that have caught my eye are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

Galaxy Resources Limited (ASX: GXY)

According to a note out of Ord Minnett, its analysts have upgraded this lithium miner’s shares to a buy rating with an improved price target of $4.80. The broker made the move on the belief that lithium prices will be strong in the near term thanks to growing demand and a potential market deficit. In addition to this, the broker sees Galaxy as particularly well-positioned to benefit thanks to its upcoming merger with Orocobre Limited (ASX: ORE). The Galaxy share price is $4.12 this afternoon.

Nearmap Ltd (ASX: NEA)

A note out of Morgan Stanley reveals that its analysts have retained their overweight rating and $3.20 price target on this aerial imagery technology and location data company’s shares. This follows an update this week from Nearmap which revealed that it expects to outperform its guidance in FY 2021 thanks to a better than expected performance by its North American business. The Nearmap share price is fetching $2.24 on Wednesday.

ResMed Inc. (ASX: RMD)

Analysts at Credit Suisse have retained their outperform rating and lifted their price target on this medical device company’s shares to $37.00. According to the note, the broker believes ResMed has a significant opportunity to increase its market share following Philips’ DreamStation recall. Especially given that Philips will be unable to service new patients while it replaces its current installed base. Credit Suisse estimates that this could boost ResMed’s share of the global CPAP market to 65%. The ResMed share price is trading at $33.50 this afternoon.

The post Top brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

More reading

• The Orocobre (ASX:ORE) share price hit an all-time high today
• ASX 200 midday update: Afterpay & Zip sink, Orocobre rises on broker upgrade
• Behind the Nearmap share price surge, upgrades for Rio and BHP. Scott Phillips on Nine’s Late News
• Why the Nearmap (ASX:NEA) share price is up 20% in a month
• 2 ASX 200 blue chip shares tipped as buys

Motley Fool contributor James Mickleboro owns shares of Galaxy Resources Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Nearmap Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia owns shares of and has recommended Nearmap Ltd. The Motley Fool Australia has recommended ResMed Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3ko2MQi

It’s a sea of red for buy now, pay later (BNPL) ASX share prices on Wednesday.

The largest BNPL ASX companies including Afterpay Ltd (ASX: APT), Zip Co Ltd (ASX: Z1P) and Sezzle Inc (ASX SZL) have seen their share prices tumble 9.59%, 10.77% and 10.03% respectively.

Smaller players such as Openpay Group Ltd (ASX: OPY), Laybuy Holdings Ltd (ASX: LBY) and Splitit Payments Ltd (ASX: SPT) are also struggling, sliding 4.95%, 4.76% and 4.05% respectively.

Headlining the slump in BNPL ASX share prices is news that Apple Inc (NASDAQ: APPL) might be launching a new BNPL service to the market.

However, to add further insult to injury, PayPal Holdings Inc (NASDAQ: PYPL) has revealed that it will not charge late payment fees for its BNPL services.

Another stab at BNPL ASX share prices

PayPal successfully launched its BNPL feature in the United States late last year. It would then reveal plans to roll out in Australia by early June 2021.

The announcement first came about on 9 March when BNPL ASX share prices such as Afterpay’s tumbled 5.29% on the day.

Fast forward to today, PayPal has upped the ante by saying it will not charge late payment fees.

The Australian Financial Review (AFR) quotes PayPal Australia’s head of payments Andrew Toon:

“PayPal research of its online shoppers showed high awareness of buy now, pay later options, but more than 50 per cent said they had not used them… and many of them were put off by late fees and we are genuinely responding to that”.

By comparison, Afterpay automatically charges an initial $10 late fee and a further $7 if the payment remains unpaid 7 days after the due date.

In FY20, Afterpay generated $68.8 million from late fees, or 13.7% of the company’s total income.

PayPal will also undercut Afterpay’s merchant fees, with the AFR reporting PayPal will levy a fee of 2.6% of the cost of goods plus 30 cents, compared to Afterpay’s 3.9% plus 30 cents.

Foolish takeaway

Mounting competition is nothing new to the BNPL sector.

Back in 2016, MasterCard revealed its own BNPL product, MasterCard Installments, which it spruiked as an “innovative way to pay that offers consumers flexible and convenient access to funds when needed”.

In late 2020, JPMorgan made its entrance into the booming BNPL space, giving its credit card customers an option to pay through instalments with no interest.

However, today’s news sees a US$2.4 trillion giant, that is Apple, potentially enter the space — as well as payments behemoth PayPal revealing an edge against ASX BNPL players.

The post BNPL ASX share prices tumble as PayPal declares no BNPL late fees appeared first on The Motley Fool Australia.

More reading

• Why ASX BNPL shares like Afterpay, Zip, and Sezzle are sinking
• What to consider before investing in blue-chip ASX shares
• Why Afterpay, PointsBet, Webjet, & Zip shares are sinking
• ASX 200 midday update: Afterpay & Zip sink, Orocobre rises on broker upgrade
• Why the Zip (ASX:Z1P) share price is down 10% on Wednesday

Motley Fool contributor Kerry Sun 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 AFTERPAY T FPO, Apple, PayPal Holdings, and ZIPCOLTD FPO. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended the following options: long January 2022 $75 calls on PayPal Holdings, long March 2023 $120 calls on Apple, and short March 2023 $130 calls on Apple. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO. The Motley Fool Australia has recommended Apple and PayPal Holdings. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3B3H4ac

The Macquarie Telecom Group Ltd (ASX: MAQ) share price broke its all-time high for the fifth successive day after announcing a new data centre and reaffirming its earnings guidance for the last financial year.

At the time of writing, shares in the telco are trading at their high of $61.79 – up 12.33%.

Let’s take a closer look at today’s news.

Why the Macquarie Telecom share price is flying

In a statement to the ASX, Macquarie Telecom confirmed its earnings before interest, taxes, depreciation, and amortisation (EBITDA) for FY21 will be between $72 million and $75 million. This was previously announced and is an increase of up to 15% on FY20.

Investors are clearly loving the news, judging by the jump in the Macquarie Telecom share price.

Only yesterday, Motley Fool Australia reported on Macquarie Telecom breaking its previous all-time high. Yesterday, it was growing 3x faster than Telstra Corporation Limited (ASX: TLS) – today it’s growing 4.5x faster.

In other news possibly affecting the Macquarie Telecom share price, its subsidiary – Macquarie Data Centres – has lodged a State Significant Development Application to build a new data centre at the Macquarie Park Data Centre Campus. The new data centre will be called “IC3 Super West” and will be the largest data centre on the campus.

IC3 Super West will also house the “Sovereign Cyber Security Centre of Excellence” with support from Investment NSW.

In its most recent half-year results, data centres compromised 25.5% of all revenue but grew at less than half the rate of overall revenue.

CEO of Macquarie Telecom Group David Tudehope says the new centre will be good for the whole country, not just the company.

“This global-scale data centre campus will attract new investment into Australia from multinationals looking to expand in the Asia Pacific region.”

Macquarie Telecom share price snapshot

Over the past 12 months, the Macquarie Telecom share price has increased 35%. Just in the last month, shares in the company have increased by 17% and are up 15% year-to-date.

Macquarie Telecom has a market capitalisation of approximately $1.2 billion.

The post Macquarie Telecom (ASX:MAQ) rockets 12% to new all-time high appeared first on The Motley Fool Australia.

More reading

• This ASX telco grew 3 times faster than the Telstra (ASX:TLS) share price
• Is your money safe in Telstra (ASX:TLS) shares right now?
• Why Telstra (ASX:TLS) and this dividend share could be buys
• ASX 200 Weekly Wrap: COVID wobbles ASX as shares retreat
• 2 high yield ASX dividend shares that could be buys

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.

from The Motley Fool Australia https://ift.tt/3kg27QV

We had some big news from National Australia Bank Ltd. (ASX: NAB). As my Fool colleague covered earlier today, the ASX big four bank yesterday confirmed speculation that it is looking at acquiring the Australian arm of the banking giant Citigroup.

NAB said that it “confirms it is in discussions with Citigroup about the potential acquisition of its Australian Consumer business”. At the time of writing, the markets seem a little nonplussed. The NAB share price is currently down 0.15% to $26.20.

But NAB is clearly interested in Citigroup’s Australian assets. Why? Well, the bank stated that “NAB regularly assesses opportunities to acquire businesses that support its growth strategy in core banking markets.”

So who is Citigroup? And what would it bring to NAB’s table?

NAB nabs Citigroup?

Citigroup is a US bank, headquartered in New York City. It’s listed on the US markets under Citigroup Inc (NYSE: C). It currently has a market capitalisation of US$141.32 billion ($189.44 billion). In contrast, NAB’s market capitalisation is currently $86.33 billion. Citi currently offers all of the mainstream banking products you would expect in Australia, such as credit cards, loans, mortgages, foreign currency accounts, term deposits, and of course, bank accounts.

It’s these assets that NAB would presumably acquire if these “discussions” bear fruit.

So what would Citi’s Australian assets do for NAB?

Well, according to a report in the Australian Financial Review (AFR) today, the benefits would be threefold:

[NAB] reckons Citi’s consumer business can help grow its retail book, it likes the look of Citi’s expertise in unsecured lending and it would fit with CEO Ross McEwan’s simple and digital strategy.

The report also flags that NAB is set to pay roughly $2 billion to acquire Citi’s Australian assets. But what exactly are these assets? Well, the report reckons Citi has around $11.5 billion worth of “total residents loans and finance leases in Australia”. This includes around $6.6 billion in mortgages and property loans, and another $3.6 billion in credit card loans. All areas that NAB already has extensive experience in.

So it looks as if these assets will ‘bolt on’ to NAB’s existing asset books fairly easily.

Is the NAB share price a buy right now?

One broker who is liking what they are seeing with NAB right now is investment bank Goldman Sachs. Goldman currently has a ‘buy’ rating on NAB shares, with a 12-month share price target of $29.97 a share. That implies a potential upside of 14.5%, not including dividend returns.

Although this recommendation doesn’t yet take this latest piece of news into account, Goldman is still bullish on the ASX bank due to anticipated growth in mortgage credit over the rest of the year.

The post How is the NAB share price reacting to the possible Citi buyout today? appeared first on The Motley Fool Australia.

More reading

• ASX 200 midday update: Afterpay & Zip sink, Orocobre rises on broker upgrade
• NAB (ASX:NAB) share price on watch after confirming Citi acquisition interest
• 5 things to watch on the ASX 200 on Wednesday
• Top brokers name 2 ASX dividend shares to buy today
• Why the NAB (ASX: NAB) share price has jumped today

Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Sebastian Bowen owns shares of National Australia Bank Limited. 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.

from The Motley Fool Australia https://ift.tt/3eiryO5

The Weebit Nano Ltd (ASX: WBT) share price is flying more than 11% higher today.

Investors are jumping for shares in the memory technology company after it released an announcement earlier today.

Let’s take a look at what Weebit announced and why investors are getting excited.  

Weebit share price jumps on module completion

Earlier today, Weebit announced that it has completed the design of its embedded ReRAM module.  

In addition, the company also completed verification stages and taped out (released to manufacturing) a test-chip integrating the module.

Weebit highlighted the integrated test-chip will be used as the final platform for testing and qualification. Following testing, the company expects customer production to be the next step.

Weebit’s CEO Coby Hanoch noted;

“We implemented the module in an intelligent way, developing unique patent-pending analog and digital smart circuitry that significantly enhances the array’s technical parameters including speed, retention, and endurance.”.

Weebit’s management noted the milestone development will allow the company to demonstrate a functioning ReRam product to consumers.

The company’s new memory module will provide a foundation for Weebit’s future ReRAM compiler. Weebit expects to have its first silicon of the embedded ReRAM module by the end of this year. Full qualification of the module is expected by mid-2022.

Snapshot of the Weebit share price

Weebit develops next-generation memory technology for the global semiconductor industry. The company’s flagship ReRam technology is based on silicon oxide which allows semiconductor memory elements to be cheaper, faster and more energy-efficient.

Weebit says the company’s ReRam is 1000 times faster and uses 1000 times less power than current flash memory. The technology has been designed to provide memory solutions for computers, laptops and smartphones.

At the time of writing. the Weebit share price is trading roughly 9.5% higher at around $1.96. Shares in the tech company were charging more than 11% higher earlier after hitting an intra-day high of $2.00.

Overall, the Weebit share price has been all over the place in 2021. Including today’s price action, the Weebit share price remains 21% lower for the year-to-date.

Shares in Weebit have been sold off after they bolted to an all-time high of $4.27 earlier this year. Investors began dumping shares in Weebit following weak financial results and accusations of market manipulation.

The post Here’s why the Weebit (ASX:WBT) share price is flying 11% higher today appeared first on The Motley Fool Australia.

More reading

• Here are the 5 best performing ASX tech shares from FY21
• Why has the Weebit (ASX:WBT) share price jumped 9% today?
• Why the Weebit Nano (ASX:WBT) share price is rocketing 15%

Motley Fool contributor Nikhil Gangaram 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.

from The Motley Fool Australia https://ift.tt/3BaaBiT

The Tesserent Ltd (ASX: TNT) share price has rallied strongly in the last month, surging 40% to a five-month high of 30 cents.

Tesserent provides full service cyber security solutions with a focus on government, critical infrastructure, and financial services markets.

Despite Tesserent shares making a comeback in the new financial year, the company has not released any market sensitive news since its third quarter update on 29 April.

While the company might be quiet in terms of news, there is plenty going on in the cyber security space.

Let’s take a look at other factors that might be driving the Tesserent share price.

Government cyber security tailwinds

Tesserent might be riding the Australian Government’s commitment to boost cybersecurity capabilities.

Back in August 2020, Prime Minister Scott Morrison announced a $1.67 billion investment over the next decade to protect Australia’s digital economy.

On Tuesday, Minister for Home Affairs Karen Andrews released a discussion paper consulting on cyber security reforms.

According to the release, “reforms under consideration include stronger cyber security standards for the digital economy, more transparent information about cyber security, and stronger legal remedies for consumers.”

“This process will build on the measures the Government is already delivering to help businesses improve their cyber security, including the $8.3 million Cyber Security Connect and Protect Program to uplift the cyber security of small and medium businesses and $70.3 million Cyber Security Skills Partnership Innovation Fund to grow Australia’s cyber security workforce.”

In addition, the consultation comes after a report from the Australian Institute of Criminology flagging the total economic impact of cybercrime on the Australian economy at $3.5 billion.

Tesserent hits turnover milestone

Last month Tesserent advised that it will “comfortably” exceed its prior ambition to achieve an annualised turnover run rate of $150 million.

The company upgraded its annualised turnover guidance to $180 million.

The upbeat news was delivered on 22 June. That day its shares surged 26% from 20.5 cents to 26 cents.

Tesserent share price still playing catch up

The Tesserent share price is still down around 15% year to date, despite upbeat announcements such as the company’s third quarter update and annualised turnover run rate upgrade.

However, looking at its performance over the last 12 months, the cyber security company has seen its valuation surge nearly 269%.

The post Why the Tesserent (ASX:TNT) share price has leapt 40% in a month appeared first on The Motley Fool Australia.

More reading

• Here’s why the Weebit (ASX:WBT) share price is flying 11% higher today
• Boral (ASX:BLD) share price falls as Seven’s hold nears 50%
• The Orocobre (ASX:ORE) share price hit an all-time high today
• Why the Infinity Lithium (ASX:INF) share price is skyrocketing 17% today
• Sydney Airport (ASX:SYD) share price lower as board expected to reject takeover

Motley Fool contributor Kerry Sun 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.

from The Motley Fool Australia https://ift.tt/3wNWFaV

Shares in Boral Limited (ASX: BLD) are in the red today as Seven Group Holdings Ltd (ASX: SVW) gets closer to owning half of Boral’s shares. Right now, the Boral share price is 0.54% lower than its previous close, with shares in the company swapping hands for $7.36.

At the same time, the Seven Group share price is flying higher. It’s currently $22.82 – 3.35% more than yesterday’s close.

The investment group’s takeover bid for Boral is set to close at 7 pm tomorrow. However, it’s starting to look like it will be extended once more.

Additionally, Boral finished its on-market share buy-back this morning, which may be affecting its share price as its shares won’t be further concentrated.  

Let’s take a look.

The latest news on Seven Group’s takeover bid

Today, ASX announced that Seven Group now owns 48.41% of all outstanding shares in Boral.

Thus far, Seven Group has managed to convince the owners of more than 534 million Boral shares to part ways with their holdings in the construction supplies company.

If Seven Group manages to get a hold of 1.59% more of Boral’s shares, its takeover bid will be extended again.

Seven Group’s holding in Boral has increased by around 4% every day this week.

The takeover was previously extended after Seven Group upped the amount it was willing to pay for Boral shares to $7.30 apiece, and $7.40 apiece if it acquired more than 35% of those available.

Originally, it had offered $6.50 per share, a nil premium on the Boral share price’s previous close.

Boral is still pleading with its shareholders to reject Seven Group’s bid. Though, its efforts don’t seem to be having the desired effect.

Boral share price snapshot

Despite today’s dip, the Boral share price has been performing well lately.

It’s gained 47.9% year to date. It is also 96.6% higher than it was this time last year.

Seven Group share price overview

2021 hasn’t been so good to the Seven Group share price.

It’s fallen 5% this year so far. However, it’s gained 34.6% over the last 12 months.

The post [TO BE CHECKED] Boral (ASX:BLD) share price falls as Seven’s hold nears 50% appeared first on The Motley Fool Australia.

More reading

• The Boral (ASX:BLD) share price is up 9% in a month. What’s next?
• These 3 ASX 200 shares were big movers this Monday
• Boral (ASX:BLD) share price slips as Seven Group’s stake surpasses 40%
• Here are 3 of the most traded ASX 200 shares today
• Boral (ASX: BLD) share price lifts as Seven gets increased stake

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.

from The Motley Fool Australia https://ift.tt/3ibRCvx

The Orocobre Ltd (ASX: ORE) share price hit an all-time high this afternoon. The company’s shares reached an intraday price of $7.48 before retracing back down.

At the time of writing, shares in the lithium explorer are changing hands at $7.38 apiece, jumping 3.8% into the green on the day.

Let’s take a look at what the company has been up to lately.

What’s behind Orocobre’s share price movement today?

The company’s shares jumped this morning after wealth management firm Ord Minnett provided a broker update.

The firm reports it now has a price target of $8.45 on Orocobre shares and has upgraded to a buy recommendation.

Ord understands that Orocobre will derive immense benefit from high lithium spot prices.

It also believes it will benefit greatly from its proposed merger with Galaxy Resources Limited (ASX: GXY). The firm’s price target implies a 15% upside potential at the time of writing.

In addition to Ord Minnett’s report, investment banking giant JP Morgan also raised its price target on the company by 14% to $8.45 today.

JP Morgan cited similar reasons to Ord Minnett for its price target hike.

Lithium demand outpacing supply

In early July, Australian investment bank Macquarie Group Ltd (ASX: MQG) upgraded its views on the lithium market, Bloomberg LP reports.

Macquarie views the market as heading towards a “perpetual deficit” with “supply unable to keep up with rampant demand”.

This is underscored by the high demand for lithium-ion batteries, which are used in electric vehicles for instance.

In its report, Macquarie stated:

Lithium prices are expected to continue to rise, moving to an incentive price by CY24. Some new supply additions temporarily tighten the market in CY26, but beyond CY27 the supply deficit widens significantly.

Both JP Morgan and Ord Minnett firmly believe that Orocobre is well-positioned to capitalise on this surge in demand.

Orocobre share price snapshot

The Orocobre share price has posted a return of 66% this year to date, extending the last 12 months’ return of 181%.

These gains have outpaced the S&P/ASX 200 Index (ASX: XJO)’s return of ~11.6% over the same time frame.

At the time of writing, Orocobre has a market capitalisation of around $2.5 billion.

The post The Orocobre (ASX:ORE) share price hit an all time high today appeared first on The Motley Fool Australia.

More reading

• Why BlueBet, Orocobre, Praemium, & Sandfire shares are racing higher
• ASX 200 midday update: Afterpay & Zip sink, Orocobre rises on broker upgrade
• Is the Appen (ASX:APX) share price an opportunity?
• Why the Novonix (ASX:NVX) share price rocketed 16% today
• ASX lithium shares are surging on Tuesday. Here’s why

The author Zach Bristow has no positions 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 owns shares of and has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia https://ift.tt/3wEiNnK

The Infinity Lithium Corporation Ltd (ASX: INF) share price is continuing its recent rebound in a big way today. This is on the back of the Spanish government approving a €4.3 billion (AUD$6.79 billion) funding package towards the development of the country’s electric vehicle value chain.

At the time of writing, the lithium explorer’s shares are up 17.39% to 14 cents. Although, the company’s shares were as high as 15.5 cents and up more than 25% earlier in the day.

Infinity Lithium share price up on EV funding

Investors are gobbling up shares in Infinity Lithium today following the company’s latest announcement.

According to the release, the Spanish government has committed ~A$6.8 billion in funding by 2023. These funds are aligned to the use of the European Union’s Next Generation recovery and resilience funds.

Furthermore, the funds will be put towards investments across the whole electric vehicle (EV) value chain. Importantly for Infinity, this includes the extraction of lithium. However, it extends all the way through assembly of the battery cells, manufacturing of EVs, and development of charging infrastructure.

This holds relevance to Infinity Lithium as its 75% owned San José Lithium Project is located in Spain. This project is the second-largest JORC hard rock lithium deposit in the EU.

Another positive for lithium players were the comments from Spain’s Prime Minister Pedro Sánchez. According to Sánchez, the country’s automotive industry will increase by 50% to 15% share of the total GDP by 2030.

Further details

The funding approved by the Spanish government’s Council of Ministers is aimed towards turning Spain into an EV hub. However, today’s approved funds are only the tip of the iceberg. When combined with the EU’s Next Generation investments, a total of €24 billion is expected between 2021 and 2023.

Commenting on the electric push, Spain’s Prime Minister, Mr Sánchez said:

It will be one of the biggest projects, not in Spain, but in Europe, in recent decades. The government firmly believes in the capacity, the industrial potential of our country, to face this challenge, which will affect the entire production chain, from the extraction of raw materials such as lithium… in short, the automotive industry is going to receive public support throughout the manufacturing process

In other news, the Infinity Lithium share price experienced a surge late last month. At that point in time, the company announced a memorandum of understanding with LG Energy Solution.

The post Why the Infinity Lithium (ASX:INF) share price is skyrocketing 17% today appeared first on The Motley Fool Australia.

More reading

• Here’s why the Infinity share price is powering 6% higher today

Motley Fool contributor Mitchell Lawler 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.

from The Motley Fool Australia https://ift.tt/3xHDYGQ

The Sydney Airport Holdings Pty Ltd (ASX: SYD) share price is currently down 0.3% (after being up in the morning). The board of the airport operator is expected to reject the takeover offer for the business.

What is the takeover offer?

Just over a week ago, it was revealed that Sydney Airport had received an unsolicited, indicative, conditional and non-binding proposal from a consortium of infrastructure investors to acquire the whole business.

The offer price was $8.25 cash per share.

A consortium of investors was behind the offer. It included IFM, QSuper and Global Infrastructure Management.

At the time of the ASX announcement, the Sydney Airport boards had commenced an assessment of the proposal and made the following points:

The Sydney Airport Boards note that Sydney Airport is a world class airport and one of Australia’s most important infrastructure assets. Sydney Airport is Australia’s largest airport and is the gateway to international travel in and out of Australia.

The indicative proposal has been made during a global pandemic which has deeply affected the aviation industry and the Sydney Airport security price. The indicative price is below where Sydney Airport’s security price traded before the pandemic. The boards are undertaking the value of the airport given its long-term remaining concession and the expected short-term impact of the pandemic. The boards will update securityholders accordingly.

Sydney Airport offer to be reportedly rejected

According to reporting by the Australian Financial Review, the board is meeting to today to talk about whether to accept the takeover approach by the consortium.

That board will reportedly be advised by the people from Barrenjoey and UBS who are providing help on the bid.

The AFR reported that the offer is highly likely to be rejected, though that hadn’t been fully decided yet.

Whilst the offer was made at a 42% premium to the closing share price at the time, the leadership reportedly believe that it’s only because of the travel restrictions that the Sydney Airport share price is trading at a lower level.

More offers to come?

According to reporting by the Australian Financial Review, there could be another bid to come from a consortium led by Macquarie Group Ltd (ASX: MQG) which could try to put in a counter offer to the first bid.

The global investment bank has reportedly been communicating with potential partners such as superannuation funds and funds managed by Macquarie Infrastructure & Real Assets (MIRA). Macquarie is reportedly only considering a bid at this stage.

The IFM consortium could also come back with a higher bid that may be acceptable by the board of Sydney Airport.

The post Sydney Airport (ASX:SYD) share price lower as board expected to reject takeover appeared first on The Motley Fool Australia.

More reading

• A2 Milk and Zip were among the most traded ASX shares last week
• Why the Sydney Airport (ASX:SYD) share price is flying higher today
• ASX 200 Weekly Wrap: COVID wobbles ASX as shares retreat
• Is it a good time now to buy Sydney Airport (ASX:SYD) shares?
• These were the best performing ASX 200 shares last week

from The Motley Fool Australia https://ift.tt/3iaD1Ai