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The tech sector has underperformed recently because of a rotation out of growth and into value stocks.

But as far as some experts are concerned, this rotation has only dragged the shares of some quality companies down to more attractive levels. Which could make now an opportune time to invest in the tech sector with a long term view.

Three ASX tech shares which are highly rated are listed below:

Altium Limited (ASX: ALU)

Altium is an award-winning printed circuit board (PCB) design software provider. Over the last decade it has carved out a leading position in this growing market. Which is a big positive given the proliferation of electronic devices. This is likely to lead to increasing demand for its software over the next decade. Analysts at Credit Suisse are positive on its prospects. They have an outperform rating and $42.00 price target on its shares.

Audinate Group Limited (ASX: AD8)

At the smaller end of the market is Audinate. It is a digital audio-visual networking technologies provider which has been delivering impressive sales growth over the last few years. This is thanks to its Dante product, which is the clear market leader. And while FY 2020 was a tough year because of the pandemic, the company looks well-placed to bounce back strongly when the pandemic passes. UBS has been pleased with its recovery and particularly its strong performance in the first quarter. It put a buy rating and $8.00 price target on its shares.

Xero Limited (ASX: XRO)

Xero is a leading cloud-based business and accounting software provider. Thanks to its evolution into a full service small business solution over the last few years, the company has been growing its customer numbers and recurring revenues at a rapid rate. The good news is that due to the quality of its offering, the shift to the cloud, its global market opportunity, and burgeoning app ecosystem, Xero has been tipped for more of the same in the future. Goldman Sachs is very positive on its prospects and recently put a buy rating and $157.00 price target on its shares.

More reading

• Why the ASX tech share rally can run well into 2021
• 3 quality SaaS ASX shares to buy
• 3 reasons why Xero (ASX:XRO) shares are doing so well
• Why Creso Pharma and these ASX shares just hit 52-week highs or better
• 2 exciting small cap ASX shares to watch

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 recommends Altium. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of AUDINATEGL FPO and Xero. The Motley Fool Australia has recommended AUDINATEGL FPO. 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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Are you fed up with the low interest rates on savings accounts? You’re not alone, if you are.

The good news is that the Australian share market hosts a large number of shares with generous dividend yields.

For example, two dividend shares that provide investors with yields that smash savings accounts are listed below:

National Storage REIT (ASX: NSR)

National Storage is one of the ANZ region’s leading self-storage operators. It has been growing at a solid rate over the last few years thanks to its strong position in a fragmented market and its growth through acquisition strategy.

Pleasingly, its performance has remained solid this year despite the pandemic. So much so, at its annual general meeting, management revealed that it expects to report underlying earnings per share of 7.7 cents to 8.3 cents in FY 2021. It also advised that it intends to payout 90% to 100% of its earnings to shareholders as distributions.

Based on the middle of both guidance ranges and the current National Storage share price, this equates to a 3.7% yield.

Westpac Banking Corp (ASX: WBC)

It certainly has been a tough couple of years for Westpac and the rest of the banking sector. And while trading conditions will not be buoyant for some time, the overall industry outlook is improving greatly. Especially with the end of the pandemic in sight, the economic damage appearing not as bad as first feared, and housing prices tipped to hit record highs next year.

One broker that is positive on the company’s prospects in FY 2021 is Citi. Last month it responded to its full year results release by putting a buy rating and $23.50 price target on its shares.

It is also forecasting a 90 cents per share fully franked dividend. Based on the Westpac share price, this represents a 4.5% dividend yield.

More reading

• 5 things to watch on the ASX 200 on Friday
• Morgans picks the best ASX stocks to buy for 2021
• 5 things to watch on the ASX 200 on Wednesday
• ASX 200 rises on Monday
• Westpac (ASX:WBC) makes $420 million sale

Motley Fool contributor James Mickleboro owns shares of Westpac Banking. 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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On Thursday the S&P/ASX 200 Index (ASX: XJO) ended its winning streak and tumbled lower. The benchmark index fell 0.7% to 6,683.1 points.

Will the market be able to bounce back from this on Friday? Here are five things to watch:

ASX 200 expected to drop again.

The Australian share market looks set to end the week on a disappointing note. According to the latest SPI futures, the ASX 200 is poised to open the day 32 points or 0.5% lower this morning. This follows a mixed night of trade on Wall Street, which in late trade sees the Dow Jones down 0.45%, the S&P 500 down 0.3%, but the Nasdaq up 0.25%. The Airbnb share price doubled after its IPO on the Nasdaq.

Iron ore price climbs further.

BHP Group Ltd (ASX: BHP) and Fortescue Metals Group Limited (ASX: FMG) shares could be on the rise again on Friday after the iron ore price continued its incredible ascent. The price of the steel-making ingredient is now fetching a massive US$156.58 a tonne.

Oil prices jump.

Energy producers including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could finish the week strongly after oil prices jumped. According to Bloomberg, the WTI crude oil price is up 2.8% to US$46.80 a barrel and the Brent crude oil price is up 2.8% to US$50.22 a barrel. The latter was the first time its price has gone beyond US$50 since March. An oilfield attack in Iraq was behind the rise.

Gold price softens.

Gold miners such as Newcrest Mining Ltd (ASX: NCM) and Saracen Mineral Holdings Limited (ASX: SAR) will be on watch after the gold price softened. According to CNBC, the spot gold price is down 0.1% to US$1,836.20 an ounce. Improving investor sentiment was weighing on the precious metal.

Westpac annual general meeting.

The Westpac Banking Corp (ASX: WBC) share price will be on watch today when it holds its annual general meeting. The banking giant is likely to provide investors with an update on current trading and also its COVID loan deferrals.

More reading

• ASX 200 drops on Thursday
• Brokers just upgraded these two ASX stocks to “buy”
• Why the Adbri (ASX:ABC) share price has dipped in trading today
• Why Asaleo Care, Fortescue, Perpetual, & Starpharma shares are storming higher
• The two ASX stocks most impacted by the dangerous rise of the Aussie dollar

Motley Fool contributor James Mickleboro owns shares of Westpac Banking. 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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If you’re currently searching for a few shares to add to your portfolio in 2021, then you could do a lot worse than the ones listed below.

Here’s why these ASX shares come highly rated right now:

Afterpay Ltd (ASX: APT)

Afterpay is a payments company that has been growing at a rapid rate over the last few years. This has been driven by the growing popularity of the buy now pay later payment method with consumers and retailers and its successful international expansion.

Pleasingly, this strong growth has not only continued in 2020, but accelerated thanks to the shift to online shopping because of the pandemic.

One broker that appears confident its strong growth can continue is Credit Suisse. Last week it initiated coverage on the company with an outperform rating and $124.00 price target.

Kogan.com Ltd (ASX: KGN)

Kogan is one of Australia’s leading ecommerce companies. Like Afterpay, it has been a big winner from the shift to online shopping. This has seen Kogan record a significant jump in active customers and an even greater lift in sales and earnings.

And with more and more spending expected to shift online in the future, Kogan looks well-positioned to benefit. It is also looking to boost its growth with earnings accretive acquisitions. One of these was announced recently with the acquisition of New Zealand-based Mighty Ape.

Analysts at Credit Suisse were pleased with this acquisition and upgraded Kogan’s shares to an outperform rating with a $20.60 price target.

Pushpay Holdings Group Ltd (ASX: PPH)

Pushpay is a fast-growing donor management platform provider. It has been growing its share of the massive United States market at a rapid rate over the last few years. This has underpinned stellar revenue and operating earnings growth.

The good news is this has continued in 2020, with Pushpay recently reporting explosive growth in the first half of FY 2021. Its half year results revealed a 53% increase in operating revenue to US$85.6 million and an even more impressive 177% jump in EBITDAF to US$26.7 million.

Looking ahead, the company has a significant market opportunity to grow into and is targeting US$1 billion in revenue later this decade. Goldman Sachs believes it is well-positioned for growth and has a conviction buy rating and $10.35 price target (now $2.59 after its 4-1 share split) on its shares.

More reading

• Why the ASX tech share rally can run well into 2021
• 3 compelling ASX payment shares to buy
• 5 things to watch on the ASX 200 on Thursday
• Top brokers name 3 ASX shares to buy today
• Why Afterpay, Creso Pharma, Healius, & Resonance Health shares are storming higher

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 Kogan.com ltd and PUSHPAY FPO NZX. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Kogan.com ltd and PUSHPAY FPO NZX. 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 4DS Memory Ltd (ASX: 4DS) share price went through some ups and downs today, rising 4% before closing flat at 12 cents. This follows a company update on its expected shipment of wafers. 

What’s in the wafer delivery?

The memory storage provider advised that Imec – a research and development hub in nanoelectronics and digital technologies – has successfully manufactured second non-platform lot wafers. These are being prepared for shipment, with the delivery expected at 4DS Memory’s Fremont facility around mid-December.

Provided there is no delay in customs clearances, the company will report on the analysis of the wafers between late December and early January.

4DS advised it has identified future refinements to process conditions for the second platform lot wafers. In turn, this is predicted to reduce the risk at the various stages of the fabrication process. As Imec originally had the second platform lot wafers slated to start in the middle of first-quarter FY21, 4DS is seeking to bring the date forward.

The company said that the analysis of second non-platform lot and second platform lot will potentially allow it to fabricate the wafers to read and write selected bits and bytes. In turn, the end process will produce a fully functional megabit memory chip.

Partnership agreement

As the partnership agreement expires on January 1, 2021, 4DS Memory and Imec are currently finalising the terms to extend their collaboration. The company noted that while details such as timetables and costs may take it past the expiry date, Imec remains committed to continuing to work with 4DS.

Furthermore, 4DS advised that it was keeping a close eye on the COVID-19 situation in Belgium and in Silicon Valley, California. As restrictions are being enforced to stop the virus spreading, the company says it will update the market on any significant changes to operations as a result.

About the 4DS Memory share price

The 4DS Memory share price has risen sharply since its lows of 2.5 cents in March, gaining more than 400% and reaching its 52-week high of 17 cents last month.

The company has a market capitalisation of $157 million.

More reading

• Here’s why the 4DS (ASX:4DS) share price is surging today

Motley Fool contributor Aaron Teboneras 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 Immutep Ltd (ASX: IMM) share price is on fire today, rising close to 60%. Immutep shares closed at 28 cents a share yesterday afternoon but opened at 45 cents this morning before rising to a high of 54 cents. The Immutep share price has since cooled somewhat but is still trading 60.7% higher at 45 cents a share at the time of writing.

Today’s share price moves also mark a new 52-week high for the company, which reached its previous high back in February, before the coronavirus-induced market crash in March saw the shares plummet more than 75%. Even so, today’s moves mean that Immutep shares are up more than 320% from the lows we saw back in late March.

So what is this company? And why is the Immutep share price exploding higher today in such dramatic fashion?

What is this company?

Immutep is a biopharmaceutical company that was founded back in 2001. It’s a dual-listed company, appearing on the ASX under the IMM ticker code, as well as the United States’ Nasdaq exchange, where it is listed as Immutep ADS (NASDAQ: IMMP).

Companies often dual-list in order to attract more investor capital, especially in the US, where stock markets are the most capitalised in the world by far. It’s not the only Australia-US dual-listed stock in the medical/biopharmaceutical space either. Well-known ASX examples include Resmed Inc (ASX: RMD) and Avita Therapeutics Inc (ASX: AVH).

Immutep describes itself as “leading the development of immunotherapy for cancer and autoimmune diseases”. It states that its goal is “to harness and strengthen the power of the body’s own immune systems through therapeutic intervention for the benefit of patients’ health”.

Its field of specialisation is the understanding and development of therapeutics that modulate Lymphocyte Activation Gene-3 or ‘LAG-3’ as the company calls it. LAG-3 is apparently a “cell surface molecule which plays a vital role in regulating T-cells”. T-cells are a type of white blood cell that is an essential part of the body’s immune system. They help the body to identify and eliminate foreign pathogens, diseases and other threats.

Immutep reportedly has 1 pre-clinical and 3 clinical LAG-3 product candidates under development, including two antibodies for modulating immune responses in autoimmunity and cancer. It apparently is in partnership with global pharma giants Novartis and GlaxoSmithKline in this endeavour.

Why is the Immutep share price raising the roof today?

The Immutep share price appears to be responding to a couple of ASX releases the company announced this morning before market open.

Firstly, Immutep reported that it has achieved a “statistically significant” survival benefit for patients in an ongoing trial. The company notes these benefits are the first time an antigen-presenting cell activator has shown an overall survival benefit in a randomised setting in metastatic breast cancer patients known to be insensitive to immune checkpoint inhibitor therapy.

However, the company says data collection is ongoing and it won’t have a final report on the matter until mid-2021. Even so, this data apparently shows that the treatment under trial has resulted in 7.1-month and 9.4-month survival benefits across 2 groups of patients.

Immutep’s second announcement tells us that its partner company in China – EOC Pharma – is starting a new Phase II clinical trial for up to 152 metastatic breast cancer patients in China. This trial is aiming to evaluate the “efficacy and safety of eftilagimod alpha” in conjunction with chemotherapy treatments for these cancer patients. Eftilagimod alpha (efti), also called LAG-3Ig or IMP321, is, according to the company, a “first-in-class antigen-presenting cell (APC) activator”.

EOC Pharma has an agreement with Immutep to “make further milestone payments to the company if efti achieves specific development milestones as well as undisclosed royalties on sales and is also required to fund the Chinese development of efti”.

More reading

• 2 fantastic ASX healthcare shares to buy for 2021
• 3 stellar ASX growth shares to buy
• These are the 10 most shorted shares on the ASX
• 3 ASX growth shares to buy for 2021
• Why the Afterpay (ASX:APT) share price and these ASX stocks could get a boost next week

Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Avita Medical Limited. The Motley Fool Australia has recommended Avita Medical Limited and ResMed Inc. 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 S&P/ASX 200 Index (ASX: XJO) fell by 0.55% today to 6,691 points.

Here are some of the highlights from the ASX:

Appen Ltd (ASX: APX)

The Appen share price fell by around 10% after giving an update today.

The AI machine learning data business said that whilst its FY20 third quarter was lower than expected, its major customers released strong third quarter results and online advertising bounced back. This, and the fact its fourth quarter revenue has historically averaged 30% of its full year results, gave Appen the confidence to maintain its market guidance up until today.

However, Appen’s November results, which have just been finalised, show that while the fourth quarter has improved compared to the third quarter, the usual ramp up it traditionally sees at this point is not occurring. Appen said that COVID-19 has disrupted and reshaped the priorities and activities of its customers, especially in California where its biggest customers are based. It has also impacted its face to face sales and customer engagement practices.

The ASX 200 share is now expecting its FY20 underlying earnings before interest, tax, depreciation and amortisation (EBITDA) to be in the range of $106 million to $109 million at the actual exchange rate of AU$1 to US$0.74 for December. This is equivalent to a guidance range of $108 million to $111 million after applying the originally assumed exchange rate of US$0.70 for the second half.

Regarding the second half, Appen said: “second half underlying EBITDA is expected to grow at 30% plus over the first half”, applying first half exchange rates to second half performance.

Appen commented its major clients are reprioritising resources towards new product areas that enhance their long-term resilience and value which is currently impacting work volumes on some large mature projects. However, management believe this product development trend is positive for the company and it’s seeing a significant increase in the number of new projects amongst it major customers, although some are early in the lifecycle.

It’s also winning new customers in markets less impacted by COVID-19, including in new business areas such as shipping, automotive, education and health care.

Appen also said the long term trends for the business are very positive and spending on artificial intelligence is growing rapidly. It’s expecting a return to strong growth rates in 2021.

Link Administration Holdings Ltd (ASX: LNK)

The Link share price went up 0.9% today after it gave an update about the SS&C Technology bid to acquire Link for $5.65 per share.

Link’s board said it has carefully considered the SS&C proposal, including obtaining advice from its financial, tax and legal advisors. It has decided the offer does not represent compelling value for shareholders on a control basis. However, the board thought it was appropriate to provide SS&C with due diligence information on a non-exclusive basis so that it can develop a proposal that may be capable of being recommended to shareholders.

The board of the ASX 200 company noted that the SS&C proposal is non-binding and indicative in nature and subject to numerous conditions, including due diligence, unanimous Link board approval and securing debt finance.

The due diligence will be provided subject to entry into an appropriate confidentiality agreement containing suitable protections for Link, including a stand-still clause.

However, Link said there can be no certainty a proposal will eventuate and shareholders don’t need to take any action.

More reading

• Brokers just upgraded these two ASX stocks to “buy”
• Why the Appen (ASX:APX) share price is sliding 11% today
• The two ASX stocks most impacted by the dangerous rise of the Aussie dollar
• ASX 200 down 0.4%: Appen downgrades guidance, Fortescue hits a record high
• Why Appen, McPherson’s, Northern Star, & PWR shares are dropping lower

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Appen Ltd and Link Administration Holdings Ltd. The Motley Fool Australia has recommended Link Administration Holdings 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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Thankfully for investors, the Australian share market is home to a good number of high quality blue chip shares to choose from. 

Two blue chips which could be worth considering as additions to your portfolio in 2021 are listed below. Here’s what you need to know about them:

Cochlear Limited (ASX: COH)

Cochlear is one of the world’s leading hearing solutions companies. It has been a very positive performer over the last decade thanks to its consistently strong sales and profit growth.

Pleasingly, the company appears well-positioned to continue this trend over the next decade due to its strong market position, leading technology, and its exposure to the ageing populations tailwind.

In respect to the latter, by 2050 there are forecast to be 1.5 billion people over the aged of 65. This will be almost triple the number of over 65s in 2010. This bodes well for demand for its product portfolio. And with management investing heavily in research and development, it looks well-placed to maintain its leadership position.

Analysts at Macquarie are positive on the company’s prospects and believe Cochlear is winning market share in the United States. They currently have an outperform rating and $241.00 price target on its shares.

REA Group Limited (ASX: REA)

REA Group has been a strong performer in recent years despite battling with a housing market downturn and the COVID-19 pandemic. This demonstrates the resilience of its business model and its exceptionally strong market position.

The good news is the housing market has been tipped to rebound very strongly in 2021, with some banks even forecasting record house prices. This bodes well for REA Group as it could lead to a jump in listing volumes.

Another positive is the potential for price increases, new revenue streams, and its costs remaining low post-pandemic. Combined, these could underpin an acceleration in its earnings growth in the coming years.

That is something analysts at Morgan Stanley are expecting. They recently slapped an overweight rating and $150.00 price target on the company’s shares on the belief that a “super cycle” is coming.

More reading

• The two ASX stocks most impacted by the dangerous rise of the Aussie dollar
• 2 ASX 200 healthcare shares that outperformed in November 
• 10 fantastic ASX shares to buy in December
• 2 ASX blue chip shares tipped as buys
• Is the Cochlear (ASX:COH) share price a long term market beater?

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 Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd. and REA Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The JB Hi-Fi Limited (ASX: JBH) share price gained almost 2% in afternoon trading today after the company received a rating upgrade from broker Bell Porter.

The broker has revised JB Hi-Fi’s rating from a “sell” to “neutral”, despite saying the share price is already trading at fair value at current levels.

At the time of writing, the JB Hi-Fi share price is at $44.77, up by 85 cents.

Reason for the upgrade

Bell Porter believes that JB Hi-Fi will continue its strong results in the second-quarter, following a strong first-quarter update.

The broker expects the 27.6% like-for-like sales surge in the first quarter for the flagship brand, as well as the 30.9% surge in The Good Guys brand, will continue through to the second-quarter.

This, the broker says, is underpinned by the strong Black Friday-Cyber Monday sales in late November, and positive momentum heading into Christmas.

However, the broker says that the JB Hi-Fi share price is trading at roughly fair value right now, and has suggested a target price of $43.65.

Bell Porter analyst Sam Haddad says that it’s unlikely that sales growth will be maintained in 2021-22, and warns that “material negative like-for-like sales will emerge”.

The brokers forecasts 28% first-half sales growth, a 18% contraction in the second-half in 2020-21, followed by a full-year contraction of 6.1% in 2021-22.

JB Hi-Fi’s business model

JB Hi-Fi is one of Australia’s largest discount retailers in home entertainment. Its brand includes The Good Guys franchise, which it purchased in 2016. Its main competitor, Dick Smith Electronics, folded in 2016.

JB Hi-Fi’s competitive advantage is in its low-cost business model, where stores typically break even within one year. The company doesn’t have warehouses, and stocks its inventory on site in each outlet, minimising costs. Its business model thus relies on high volume and turnover.  

JB Hi-Fi has cemented itself as the category killer in electronics similar to Bunnings, which is owned by Wesfarmers Ltd (ASX: WES), in the hardware space. The company has a network of 320 stores across Australia and New Zealand, and an online platform.

About the JB Hi-Fi share price this year

The JB Hi-Fi share price has been a runaway tear this year since March, rising by 92%. It began the year at $38 before dipping to $23.16 in March. It has since surged to today’s level, which represents a gain of 18% on a year-to-date basis.

The company commands a market value of $5 billion.

More reading

• 2 ASX dividend shares with attractive yields to buy
• The Aussie dollar just hit a new 2-year high. Here’s what that means
• Top brokers name 3 ASX shares to sell next week
• After a record November, what’s next for ASX 200 shares?
• ASX 200 Weekly Wrap: ASX 200 on track for a top month

Motley Fool contributor Eddy Sunarto 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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Shares of Resource Development Group Ltd (ASX: RDG) weren’t trading until moments before close today. But the share price slipped 1.96% in that small timeframe in the wake of this afternoon’s acquisition announcement.

Despite falling 50% during the February to March coronavirus-fuelled fire sale earlier this year, the Resource Development share price is up 150% year-to-date, and up 400% from its 25 March lows.

By comparison, the broader All Ordinaries Index (ASX: XAO) is up 2% so far in 2020.

What does the group do?

Resource Development provides contracting, remedial and construction services to the mining and oil and gas sectors within Australia as well as residential building and development. Its construction segment generates a majority of the firm’s revenue.

Resource Development Group’s shares first began trading on the Australian exchange on May 2011.

What’s driving the Resource Development share price?

Resource Development announced it has entered into a binding agreement to acquire 100% of the Balline Garnet Project. The agreement was reached with shareholders of Australian Garnet Pty Ltd.

The company said the tenements in Balline, Western Australia, are contiguous with the world’s largest supplier of alluvial garnet. Alluvial garnet products are used in the blasting and waterjet cutting markets.

Commenting on the acquisition, Resource Development managing director Andrew Ellison said:

Balline is a high-quality shovel ready project that is expected to produce a suite of highly sought after alluvial garnet products. We believe these products are undersupplied in global markets and are in high demand.

This is supported by our initial engagement with potential customers. Balline is one of only a handful of garnet projects globally capable of supplying high-quality garnet products.

The acquisition remains subject to the usual conditions precedent, which includes completing legal and commercial due diligence and AGPL agreeing to settlement terms with its creditors that are satisfactory to Resource Development.

Following on settlement, Resource Development plans to finalise its plans for the project infrastructure. That includes a wet concentration plan, mineral separation plant, and non-process infrastructure. The company reports this work will be funded with its existing cash reserves.

The Resource Development share price is up more than 150% in 2020, and was trading at 51 cents at close of trade yesterday.

More reading

• Brokers just upgraded these two ASX stocks to “buy”
• Why the Adbri (ASX:ABC) share price has dipped in trading today
• 3 top ASX shares rated as buys by fund managers
• Shriro (ASX:SHM) share price hits multi-year high today. Here’s why
• Broker upgrades the IGO (ASX:IGO) share price on game changing acquisition

Motley Fool contributor Bernd Struben 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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