The market may have taken a little tumble today, but not all shares will be following it lower.
Four shares that are currently in trading halts are listed below. Here's why they are out of action at the moment:
Atlas Iron Limited (ASX: AGO)
This iron ore producer's shares went into a trading halt yesterday pending an announcement by the company in relation to media speculation. The speculation is that Mineral Resources Limited (ASX: MIN), also in a trading halt, is interested in acquiring Atlas Iron after missing out on AWE Limited (ASX: AWE). Given the low quality of Atlas Iron's produce and the preference for high grade ore, I'm a little surprised that Mineral Resources would be interested in it. Management may be expecting a change in market dynamics in the near future.
Lucapa Diamond Co Ltd (ASX: LOM)
This diamond producer requested a trading halt pending the announcement of a significant funding package to advance its diamond projects, including an extensive follow-up drilling and exploration program at its Brooking diamond discovery site. According to The Australian, Lucapa aims to raise $15 million in order to crank up exploration activities to see if Brooking can emerge as Australia's next great diamond discovery. This is great timing for the company given that rival Argyle Diamonds, Australia's biggest diamond mine and the source of rare and prized fancy pink gems, is nearing the end of its mine life. That mine currently supplies an estimated 10% of the world's diamonds.
Wattle Health Australia Ltd (ASX: WHA)
This fledgling infant formula and baby food company's shares have been suspended from quotation at the request of the company pending the release of an announcement regarding the finalisation of a joint venture with Organic Dairy Farmers of Australia and a potential capital raise. As this is expected to take some time to sort out, the company has skipped the trading halt and gone straight into a suspension which affords it more time. Wattle Health's shares are expected to be offline until April 20. This morning Wattle Health reported gross sales for the March 2018 quarter of $804,379. Its market capitalisation stands at a lofty $330 million at the time of writing.
