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Shares in lithium-ion battery manufacturer Magnis Energy Technologies Ltd (ASX: MNS) are losing charge today, currently trading down 1.8% at 55 cents apiece.

It’s been a rollercoaster ride for the company the last few weeks, with the Magnis share price closing as high as 73 cents and trading as low as 44 cents – a 64% spread – before smoothing off again to its current levels.

Towards the end of trade yesterday, Magnis advised it had been in talks with the ASX and had subsequently removed material from the corporate presentation of its annual general meeting (AGM).

What did Magnis announce?

Magnis Energy released its 2021 AGM presentation on 22 November, which included details of several investment highlights of its lithium-ion battery plant in New York, Imperium3 (IM3NY). Slide 18 of the presentation contained information about “the potential future value of the company”, as Magnis put it.

Magnis concluded it was potentially worth $10 billion by conducting a “sum of the parts comparable valuation”, suggesting its battery manufacturing business was worth $4 billion alone. Meanwhile, it slapped an easy $4 billion potential value for its anode materials business.

Using comparable names such as Novonix Limited (ASX: NVX), Magnis sized up its “equivalent” divisions to the heavyweights and even weighed IM3NY up against the $300 billion market capitalisation CATL Co Ltd.

Following consultation with the ASX, the company retracted the material on page 18 yesterday and informed investors that they “should not rely on that information as the basis for any investment decision”.

In the news again

This isn’t the first time the battery manufacturer has had to clear the air for shareholders. It was only last month that Magnis responded to a ‘please explain’ letter from the ASX.

The company was asked to clarify updates made in May and September, that listed Indian utility company Sukh Energy as a key stakeholder. The ASX asked Magnis to front up about Sukh’s operations as a going concern.

Magnis Energy replied it was well aware of Sukh Energy’s business operations, its key customers, and its financial health.

The company has also had to clarify statements made on its Imperium3 business and was also warned by the ASX back in July about the use of “exuberant language” in its announcements to investors.

Separately, the regulator also uncovered a potential pump and dump scheme on Magnis’ share price in a Telegram group. As a result, 400 traders from the group were subsequently warned by ASIC.

The announcement follows a disputed report that Magnis chair Frank Poullas was being investigated by the Australian Securities and Investments Commission (ASIC).

As reported by The Motley Fool, Magnis noted its 9.65% owned Charge CCCV had been chosen to participate in the United States government-funded USCAR program.

Despite the turbulence lately, the Magnis share price is still up 44.7% in the past month and has soared more than 206% in the last year.

The post Magnis (ASX:MNS) share price slips after retracting $10b ‘potential’ valuation appeared first on The Motley Fool Australia.

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• Here’s why the Magnis (ASX:MNS) share price is rocketing 21% today
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• Magnis (ASX:MNS) share price falls 40% this week amid ASIC and board woes
• Magnis Energy (ASX:MNS) share price frozen amid ASIC probe
• Liftoff: Why is the Magnis Energy (ASX:MNS) share price up 50% in a week?

The author 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 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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It has been another busy week for Australia’s top brokers. This has led to the release of a large number of broker notes.

Three broker buy ratings that you might want to know more about are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

EML Payments Ltd (ASX: EML)

According to a note out of UBS, its analysts have retained their buy rating and $4.40 price target on this payments company’s shares. This follows an update on the company’s dealings with the Central Bank of Ireland. UBS believes the update is a major de-risking event and suspects that its shares could re-rate to higher multiples in the future if its performance in Europe picks up because of the development. The EML Payments share price is trading at $3.60 on Friday.

Universal Store Holdings Ltd (ASX: UNI)

A note out of Morgans reveals that its analysts have retained their add rating and lifted their price target on this retailer’s shares to $8.90 following its trading update. Morgans was pleased with the company’s performance during the first 20 weeks of FY 2022 and feels it has managed the external challenges of the past few months very well. The broker notes that its sales are ahead of its estimates and its store expansion is also outperforming expectations. The Universal Store share price is fetching $7.69 today.

Webjet Limited (ASX: WEB)

Another note out of Morgans reveals that its analysts have upgraded this online travel agent’s shares to an add rating with a $6.60 price target. This follows the release of the company’s half year results earlier this week. Morgans was pleased to see that trading has been strong in the third quarter and that two of Webjet’s three businesses are now profitable. Looking ahead, the broker believes that Webjet has the potential to be materially more profitable post-COVID. The Webjet share price is trading at $5.41 on Friday afternoon.

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

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• These 3 ASX 200 shares are topping the volume charts this Thursday
• Why Adairs, EML, Fisher & Paykel Healthcare, and NRW are storming higher
• Leading broker upgrades Webjet (ASX:WEB) shares to a buy rating
• ASX 200 (ASX:XJO) midday update: EML rockets, NAB given ACCC green light
• EML (ASX:EML) share price rockets 17% on new programs green light from regulator

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 EML Payments. The Motley Fool Australia owns shares of and has recommended EML Payments. The Motley Fool Australia has recommended Webjet Ltd. 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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When it comes to ASX banking shares, most investors come for the dividend and stay for the dividend (and maybe the franking credits). It’s arguably no different for National Australia Bank Ltd (ASX: NAB) shares.

Like the other major ASX banks, NAB hasn’t exactly reclaimed its former glory in the dividend space. Sure, it seems to be well on the road to recovery after the devastation of last year’s COVID crash (and dividend wipeout). But this was a bank that, only a few years ago, was paying out $1.98 in fully franked dividends per share every year. Contrast that figure with the grand total of 60 cents per share that investors received last year and you get the picture.

But NAB has recently released its full-year results for FY2021, which of course included information on its upcoming final dividend. So has the game changed for shareholders?

Well, it was arguably good news. Yes, NAB reported a 76.8% rise in cash earnings to $6.56 billion, as well as a return on equity metric of 10.7%. That was despite revenues falling 2.4% to $16.73 billion.

What are NAB’s dividends in 2021 looking like?

But the real news for income-focused investors was the announcement of a final and fully franked dividend of 67 cents per share (in itself more than NAB’s entire 2020 payouts). This 67 cents per share dividend comes after NAB’s July interim payment of 60 cents per share (also fully franked) and will hit investors’ bank accounts on 15 December.

The 67 cents per share dividend is a 123% increase from last year’s final dividend of 30 cents per share. The total of $1.27 per share in dividends that investors will receive from NAB in 2021 is likewise a 112% rise on 2020’s 60 cents per share in total dividend payments.

It also gives NAB shares a dividend yield of 4.51% (or 6.44% grossed-up with full franking) at the current share price (at the time of writing) of $28.11.

By comparison, Commonwealth Bank of Australia (ASX: CBA) shares are currently offering a dividend yield of 3.65%. Westpac Banking Corp (ASX: WBC) has 5.51% on the table. And Australia and New Zealand Banking Group Ltd (ASX: ANZ) is putting up 5.2%.

At the current NAB share price, this ASX bank has a market capitalisation of $92.07 billion, with a price-to-earnings (P/E) ratio of 14.95.

The post What is the NAB (ASX:NAB) fully franked dividend worth in November? appeared first on The Motley Fool Australia.

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• Top broker gives its verdict on the NAB (ASX:NAB) share price
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• Green light: NAB (ASX:NAB) share price slips as ACCC gives nod to Citi deal
• ASX 200 (ASX:XJO) midday update: EML rockets, NAB given ACCC green light
• Macquarie (ASX:MQG) is now a big four bank

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 recommended Westpac Banking Corporation. 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 Digital X Ltd (ASX: DCC) share price is on the move on Friday morning. The blockchain and asset management services company announced its participation to deliver ideas for the growth of digital finance.

At the time of writing, DigitalX shares are fetching for 12.5 cents, up 8.70%. It’s worth noting that its shares are a whisker away from breaking its multi-year high of 15.8 cents reached in mid-November.

What did DigitalX announce?

Investors are fighting to get hold of DigitalX shares following the company’s latest update.

In today’s release, DigitalX advised that it has entered into a partner agreement with the Digital Finance Cooperative Research Centre (Digital Finance CRC).

Established in 2018, the Digital Finance CRC brings together companies to undertake research and commercial activities to exploit the digital finance revolution. The group consists of organisations in the finance industry, the Reserve Bank, as well as academics from numerous Australian universities.

Importantly, this allows DigitalX to collaborate with other leading companies around Australia focused on financial and blockchain technologies. This relates to innovations in digital finance, including asset tokenisation, central bank digital currency and regulatory technology.

On 30 June 2021, the Australian federal government provided $60 million to the Digital Finance CRC for digital finance research.

What does this mean for DigitalX?

Under the agreement, DigitalX will commit up to $2.5 million in cash contributions over its 10-year tenure. Around $100,000 will be handed in the current financial year, with $150,000 following in the next financial year.

The company is already looking into research projects relating to digital organisational models such as Decentralised Autonomous Organisations (DAOs). Developing this tool can provide crucial insights for real-world investment decisions, and risk and investment management strategies.

The work of the Digital Finance CRC is expected to commence in 2022.

DigitalX chief product officer, David Beros commented:

We are excited to have now partnered with the Digital Finance CRC and to join a multi-disciplined group of companies and research universities undertaking important research and commercial development of new ideas for the growth of digital finance.

Importantly for DigitalX, this provides us with the opportunity to be part of a broader group and to work with research teams to investigate and commercialise ideas that are relevant to our business that may be beyond what we could do on our own.

We look forward to bringing our own skill set to the Digital Finance CRC and making a meaningful contribution to Australian financial technology innovation over the next 10 years.

About the DigitalX share price

The DigitalX share price has gained close to 30% in the past 12 months. Its shares reached a 52-week high of 15.8 cents in mid-November, before being sold off in the following weeks.

DigitalX commands a market capitalisation of about $92.81 million, with 742.44 million shares on issue.

The post Here’s why the DigitalX (ASX:DCC) share price is leaping 9% today appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras 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 Appen Ltd (ASX: APX) share price has been among the worst performers on the ASX 200 on Friday.

In morning trade, the artificial intelligence data services company’s shares are down a very disappointing 14% to $9.98.

Why is the Appen share price being crushed today?

Investors have been selling down the Appen share price on Friday following the release of a particularly bearish broker note out of the Macquarie Group Ltd (ASX: MQG) equities desk.

According to the note, the broker has downgraded Appen’s shares to an underperform rating and cut the price target on them to $9.50.

Why did Macquarie downgrade Appen?

As mentioned above, Appen is a leading provider of artificial intelligence data services. Through its team of over one million contractors, the company provides high quality data to many of the largest tech companies in the world to help them build and improve their AI and machine learning models.

High quality data is extremely important, as without it these models will never reach their full potential.

Macquarie, however, has been speaking to industry participants and notes that there is an emerging trend which has seen some big tech companies look to bypass Appen and directly crowdsource for data annotation services.

It notes that this has been driven by tighter privacy and data retention standards, which has resulted in companies revising their strategies and developing their own crowd-sourcing solutions.

Macquarie believes this will reduce demand for Appen’s services and has downgraded its earnings and sales estimates to reflect this change, which has ultimately led to a sizeable cut in its target for the Appen share price.

Following today’s sizeable decline, the Appen share price is now down over 61% since the start of the year.

The post Appen (ASX:APX) share price smashed after broker downgrade appeared first on The Motley Fool Australia.

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• Own ANZ (ASX:ANZ) shares? Here’s how the bank just got booted out of the big four
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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 Appen Ltd. The Motley Fool Australia owns shares of and has recommended Appen Ltd. The Motley Fool Australia 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.

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The Caspin Resources Ltd (ASX: CPN) share price is off to the races in morning trade today. It is currently up 8.66% to $1.25. However, it earlier reached as high as $1.53 — a gain of 32% on its previous closing price.

Below we take a look at the latest drilling results that look to be driving investor interest in the ASX resource explorer.

What drilling results were reported?

The Caspin Resources share price is surging after the company reported promising drill results at its Yarawindah Brook PGE-Ni-Cu Project in Western Australia.

(For the uninitiated, PGE = platinum-group elements; Ni = nickel; Cu = copper.)

Caspin also updated the market on its ongoing reverse circulation (RC) and diamond drilling operations at its Yarabrook Hill prospect.

According to the release, significant nickel and copper sulphide mineralisation was intersected at XC-22, a previously identified airborne electromagnetic (AEM) anomaly. Intersections at 1 hole included a 2-metre zone of up to 20% sulphides from 46 metres downhole.

Caspin’s CEO Greg Miles cautioned that, while it was early days, the company wanted to share the exciting visual observations at XC-22.

Commenting on the findings fuelling the Caspin Resources share price today, Miles continued:

The large size of the XC-22 anomaly suggests that if it is coincident with mineralisation throughout its entire extent then this could represent a significant body of mineralisation. Many more drill holes are required before this can be confirmed as a significant discovery and laboratory assays are required to confirm the tenor of any PGE mineralisation that may be present.

Following the promising early results, the company plans to review similar AEM anomalies in the region. According to Miles: “In light of this new information [these anomalies] are potentially significant. In addition, the remainder of the project area is about to be surveyed by AEM, commencing early in December.”

Caspin Resources share price snapshot

The Caspin Resources share price has rocketed 180% over the past 12 months. That compares to a full-year gain of 12% posted by the All Ordinaries Index (ASX: XAO).

Over the past month, Caspin shares have leapt 52% higher.

The post Here’s why the Caspin Resources (ASX:CPN) share price surged 32% today appeared first on The Motley Fool Australia.

More reading

• Does the AGL share price really offer a 14% dividend yield?
• Up 101% in a year, is the Lovisa (ASX:LOV) share price still a top reopening buy?
• Morgans names 2 exciting ASX small cap shares to buy
• Sydney Airport (ASX:SYD) investors urged to speak up or forever hold their peace
• Are Qantas (ASX:QAN) shares a top reopening buy? Here’s what Motley Fool analyst Benny Ou thinks

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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There is a question worth offering – does the AGL Energy Ltd (ASX: AGL) share price really offer a 14% yield?

If that’s the case, it would be a yield that’s quite a bit higher than other blue chips like Commonwealth Bank of Australia (ASX: CBA), Westpac Banking Corp (ASX: WBC) or Telstra Corporation Ltd (ASX: TLS).

When looking at the last 12 months of dividends and the current AGL share price, the yield does come to around 14%.

As readers may have noticed, AGL shares have declined significantly over the last year. It’s actually down by 62%. So, that has significantly increased the trailing AGL dividend yield.

But the key question is, what is the next 12 months of dividends going to be?

AGL dividend estimates

The trouble is, many analysts don’t think the dividend isn’t going to stay as high as it has been.

In-fact, they are expecting the dividend to be more than halved.

For example, Morgan Stanley thinks the AGL dividend is going to sink to $0.35 per share in FY22. That would mean a forward dividend yield of 6.5%.

It’s the same thing from UBS, the analysts there are expecting an even lower dividend in FY22 of just $0.31 per share. This annual dividend would be a yield of just 5.75% at the current AGL Energy share price.

What’s going on with the AGL dividend?

AGL Energy’s dividend policy has been to target a dividend payout ratio of 75% of underlying profit after tax.

The business has been experiencing a decline of profit, so the dividend has been dropping as well.

In FY21, AGL Energy’s underlying earnings before interest, tax, depreciation and amortisation (EBITDA) declined by 18% to $1.67 billion. The underlying profit after tax dropped by 34% to $537 million which included around $90 million of insurance receipts relating to the Loy Yang Unit 2 outage in 2019.

The company experienced several headwinds in FY21 such as lower wholesale electricity prices, reduced electricity generation output at peak periods, and the roll-off of legacy supply contracts in wholesale gas.

But AGL is expecting more profit declines in FY22. Management is expecting underlying EBITDA to come in a range of between $1.2 billion to $1.4 billion. That would be a decline of 16% to 28%.

Meanwhile, FY22 underlying profit after tax is expected to be in a range of between $220 million to $340 million. This would lead to a decline of between 37% to 59%. Keeping the same dividend payout ratio, that’s the level of dividend cut that shareholders may need to expect.

Profit expectations can have an important impact on the AGL share price when it comes to investor thoughts on the valuation.

Demerger

AGL continues with its demerger. The company says that it’s progressing well with its plan to implement the proposed demerger in the fourth quarter of FY22, subject to various approvals.

The two businesses (Accel Energy and AGL Australia) continue to progress towards finalisation and structure of funding requirements and will adopt financial policies consistent with the maintenance of an investment grade credit rating.

The post Does the AGL share price really offer a 14% dividend yield? appeared first on The Motley Fool Australia.

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• These 3 ASX 200 shares are topping the volume charts this Thursday
• Here are the 3 heaviest traded ASX 200 shares this Tuesday so far
• The AGL (ASX:AGL) share price has lost 8% so far this month. What’s next?
• Is the Telstra (ASX:TLS) dividend heading up for the first time in almost 10 years?
• 2 quality ASX dividend shares with attractive yields

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 owns shares of and has recommended Telstra Corporation 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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Lovisa Holdings Ltd (ASX: LOV) has been a strong outperformer over the past 12 months.

The Lovisa share price is up 101% since this time last year, closing yesterday at $20.80 per share.

October’s executive shakeup failed to derail the Lovisa share price

Even the announcement that its veteran CEO, Shane Fallscheer, was stepping down following 12 years at the helm of the ASX fashion retailer wasn’t enough to stop the share from marching higher.

Lovisa made that announcement after market close on 12 October, when it also reported that experienced retail executive Victor Herrero would be taking Fallscheer’s place.

The Lovisa share price is up 10% since then.

With the strong run higher already banked as Australia moves to fully reopen for business following lengthy COVID lockdowns, is Lovisa still a leading reopening buy?

Is the ASX fashion retailer still a top reopening buy?

For the answer to that question, we turn to 2 leading experts – Ausbil Investment Management’s Arden Jennings and Wilson Asset Management’s Tobias Yao.

The fund managers discussed the ASX shares they believe will outperform with LiveWire.

Here are some key takeaways they had to say about their outlook for the Lovisa share price along with the company’s new CEO.

“Lovisa is a buy for us,” Yao said. “We’ve always really liked the store economics of the business and the vertical integration makes it one of the most nimble brick and mortar retailers.”

Yao added:

It is exposed to the reopening theme with more people going out and attending events and parties. We like the new CEO. If you look at his long-term incentive structure, some of the hurdles that they have for him is going to show very strong growth over the coming years.

Despite the Lovisa share price rocketing over the past year, Jennings also has a bullish outlook for the company.

“It’s a buy for us too,” he said. “It’s a high conviction position in both the Ausbil Australian Small Cap Fund and MicroCap Fund.”

According to Jennings:

Lovisa has over 550 stores operating in 21 markets globally. But the new CEO, Victor, comes with a formidable track record… And Lovisa is really the fast fashion for jewellery and expanding globally. So where their current store footprint is at the moment, and where some of those global businesses have gone to thousands of stores, we think the market’s probably pricing in between 1,000 and 1,500 stores. We think personally, they can go well beyond that with their global rollout strategy. So, it’s a buy.

There you have it.

The Lovisa share price may have doubled over the past year, and indeed gained 417% since the 20 March 2020 pandemic selloff lows, but these 2 experts still see it as a buy.

The post Up 101% in a year, is the Lovisa (ASX:LOV) share price still a top reopening buy? appeared first on The Motley Fool Australia.

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• Why is the Lovisa (ASX:LOV) share price tarnishing today?
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• Lovisa (ASX:LOV) share price surges to record high after Macquarie upgrade
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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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Yesterday I looked at two small cap ASX shares that are rated highly right now. You can read about them here.

If you’re a fan of small caps, then you’re in luck. Because those aren’t the only small cap shares that analysts are recommending.

Here are two small cap ASX shares tipped for big things by analysts at Morgans:

Airtasker Ltd (ASX: ART)

The first small cap ASX share to consider is this growing online marketplace for local services.

Analysts at Morgans are very positive on Airtasker due to their belief that the company has a very attractive business model.

The broker notes that the company’s product works for both sides of the marketplace, has attractive unit dynamics with healthy gross and contribution margins, an enormous total addressable market (TAM) in the early stages of ecommerce adoption, and a large international expansion opportunity. The latter provides the company with a long growth runway in the future.

In light of the above, Morgans has put an add rating and $1.27 price target on the company’s shares.

Step One Clothing Limited (ASX: STP)

Another small cap ASX share to watch is Step One. It is a recently listed direct-to-consumer online retailer of men’s underwear.

Earlier this month the company raised $81.3 million via its IPO. Some of these proceeds will be used to support the company’s growth strategies. This includes growing Step One’s existing customer base in Australia and the UK and investing in establishing a presence in the enormous US market.

Morgans is also feeling bullish on Step One. It recently initiated coverage on the company’s shares with an add rating and $3.20 price target. The broker likes Step One’s organically grown bamboo fabric design and notes that its sales have been growing rapidly in Australia and the UK.

Pleasingly, it doesn’t expect this growth to stop any time soon. Particularly given its recent launch in the US and the broker’s belief that Step One has the potential to go global.

The post Morgans names 2 exciting ASX small cap shares to buy appeared first on The Motley Fool Australia.

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• Step One (ASX:STP) share price surges 86% in 2 days following 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. has recommended Airtasker Limited. 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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As the takeover of Sydney Airport (ASX: SYD) draws closer, investors of Australia’s largest airport operator are being prompted to speak up or likely forever hold their peace.

The suggestion to make any discontent with the buyout known in court has come from the Australian Shareholders Association (ASA). Importantly, the ASA wants small investors not to simply assume that the proposed takeover is a done deal.

Making sure smaller voices are heard

Less than two weeks after private shareholder Joe Cambria voiced his disappointment with the $23 billion takeover offer, the ASA is now giving investors the nudge to make their grievances known. In the case of Cambria, he believes that the airport is worth $12 per share, rather than the proposed $8.75 being offered by the consortium of buyers.

According to ASA, investors should read the scheme booklet carefully once issued. From there, any misaligned details could have the potential to be argued at court.

While the likelihood of a takeover being overturned by the court is low, it is possible. However, it would likely require minority voters to uncover a flaw within the takeover process.

To deliver such a blow, minority shareholders would need to put together an additional independent report. For Michael Pinn, a Sydney Airport investor, this would be an expensive task — though it was still in the realm of possibilities.

Speaking directly to investors of the ASX-listed Sydney Airport via email, ASA said:

The meeting is your opportunity to have your say and if you want to affect the outcome you need to submit a vote for or against the scheme.

Furthermore, shareholders should receive the Sydney Airport scheme booklet roughly a month before the vote is held.

ASX-listed Sydney Airport takeover already on regulator’s radar

In addition to retail investor concerns, the Sydney Airport deal has also gained the attention of regulatory bodies. As my colleague Brooke previously covered, the Australian Competition and Consumer Commission (ACCC) has already begun its review process.

Furthermore, the corporate watchdog is particularly concerned about the ownership structure post-takeover. This might be due to the consortium’s existing part ownership in Melbourne Airport and Brisbane Airport.

Suggestions have been made by the ACCC for the separation of ownership from within the acquiring entity. If the consortium fails to abide by the regulator’s advice, the takeover might come to a screeching halt.

Shares in Sydney Airport on the ASX are up 31% since the start of the year.

The post Sydney Airport (ASX:SYD) investors urged to speak up or forever hold their peace appeared first on The Motley Fool Australia.

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• These 3 ASX 200 shares are topping the volume charts on Wednesday

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.

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