BRIEFS

PROPERTY

By InvestSMART · 19 Dec 2012

By InvestSMART ·
19 Dec 2012

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PROPERTY

Offer denied

Australand Holdings has denied it has been approached by rival Mirvac with any takeover offer. In response to reports on Tuesday that its management was in talks about a possible $7 billion merger, Australand's directors said: "Australand advises that it is not in receipt of any such proposal." But analysts said that since GPT announced it was committed to making a bid for Australand's non-residential assets, it is "game on" for the real estate investment trusts. Many have predicted that with the REITs now trading at a premium to their net tangible assets, making a pitch for a rival was more attractive.

SECURITIES

Miner's fine

Iron ore minnow Northern Iron has agreed to pay a $66,000 fine to the Australian Securities and Investments Commission after an investigation into continuous disclosure. ASIC was concerned that Northern Iron took two hours and 24 minutes to request a trading halt after it learnt confidentiality around a possible transaction in May had been lost. Northern Iron said it was not in the company's best interests to enter a lengthy legal dispute with ASIC and would pay the fine in a bid to close the matter.

MINERALS

Tarkine plan

Shares in Venture Minerals rose by more than 7 per cent late on Tuesday, as investors interpreted events in Canberra as a good sign for Venture's iron ore and tin mine proposals in Tasmania. The Environment Minister, Tony Burke, approved an application by Shree Minerals to develop an iron ore mine in the Tarkine area of Tasmania, despite opposition from some environment groups. Venture is seeking to build an iron ore mine and a tin mine in the same region, and is also waiting upon final approval from Mr Burke.

MEDIA

Retail offer

The interest in the struggling Ten Network held by James Packer and Lachlan Murdoch has risen to just below the 20 per cent takeover threshold after the pair took up their entitlement under a capital raising. Mr Packer's Consolidated Press Holdings told the stock exchange that it expected the pair's voting power would return to its previous level of 17.9 per cent after a retail offer in January.

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Frequently Asked Questions about this Article…

Did Mirvac make a takeover offer for Australand Holdings?

No. Australand Holdings publicly denied receiving any takeover proposal from Mirvac. The denial came after media reports about possible merger talks worth about $7 billion, but Australand’s directors said the company was not in receipt of such a proposal.

Why are analysts saying it’s “game on” for REITs after the Australand news?

Analysts noted that after GPT committed to bid for Australand’s non‑residential assets, competition among real estate investment trusts (REITs) could heat up. With some REITs trading at a premium to net tangible assets (NTA), rival bids become more attractive, potentially increasing deal activity and share‑price volatility in the sector.

What happened with Northern Iron and the ASIC fine?

Northern Iron agreed to pay a $66,000 fine to the Australian Securities and Investments Commission (ASIC) following an investigation into continuous disclosure. ASIC was concerned the company took two hours and 24 minutes to request a trading halt after confidentiality around a possible transaction was lost.

What does the Northern Iron ASIC action mean for small miners and investors?

The case highlights that continuous disclosure rules are actively enforced: delays in requesting trading halts or reporting market‑sensitive information can lead to fines. For investors, it’s a reminder to monitor disclosure practices and regulatory compliance when assessing small mining companies.

Why did Venture Minerals’ shares rise more than 7%?

Venture Minerals’ shares climbed over 7% after investors interpreted federal events as positive for mining projects in Tasmania’s Tarkine region. Environment Minister Tony Burke approved an application by Shree Minerals to develop an iron ore mine in the Tarkine, which investors viewed as a good sign for Venture’s proposed iron ore and tin projects there.

What is the Tarkine approval and how could it affect mining stocks like Venture Minerals?

The Tarkine approval refers to the Environment Minister’s decision to allow Shree Minerals to develop an iron ore mine in the Tarkine area of Tasmania despite some environmental opposition. Such approvals can create a more favourable sentiment for nearby or similar projects, potentially boosting share prices of companies like Venture Minerals that are seeking final approvals for mines in the same region.

How close are James Packer and Lachlan Murdoch to a takeover of Ten Network?

After taking up their entitlement under a capital raising, the combined interest held by James Packer and Lachlan Murdoch in Ten Network rose to just below the 20% takeover threshold. Their voting power is expected to return to about 17.9% following a planned retail offer in January, according to Consolidated Press Holdings.

What does nearing the 20% takeover threshold mean for everyday investors in Ten Network?

Approaching the 20% threshold can raise takeover‑related questions because crossing it can trigger mandatory bid rules. In Ten Network’s case, the major shareholders temporarily increased their stake but expect their voting power to fall back to 17.9% after the retail offer, which reduces immediate takeover risk. Investors should watch shareholder movements around capital raisings and retail offers for potential control implications.