The S&P/ASX 200 index has returned from the long weekend with a bang. At lunch the benchmark index is up 1.25% to 6,525 points.
Here's what has been happening on the market today:
Afterpay capital raising.
Afterpay Touch Group Ltd (ASX: APT) shares are in a trading halt and have missed out on a strong start to the week by the rest of the tech sector. The payments company's shares have been halted whilst it seeks to raise $330 million at a minimum underwritten price of $21.75 per share. The proceeds will be used to fund Afterpay's mid-term target of A$20b+ of GMV. In addition to this, Anthony Eisen, Nicholas Molnar, and David Hancock will sell 2.05 million, 2.05 million and 0.40 million shares, respectively, to two US cornerstone investors, Tiger Management and Woodson Capital.
Bank shares higher.
Australia's big four banks have started the week strongly and all four are in positive territory at lunch. The best performer in the group has been the Commonwealth Bank of Australia (ASX: CBA) share price with a gain of 1.2%.
Vocus receives a new takeover offer.
The Vocus Group Ltd (ASX: VOC) share price has rocketed 11% higher to $4.25 after receiving a takeover offer from AGL Energy Limited (ASX: AGL). The energy retailer has made a non-binding, indicative proposal to acquire the telco company for $4.85 per share. It believes acquiring Vocus could create material shareholder value and drive customer loyalty while providing access to a market-leading integrated broadband fibre asset base.
AGL Energy sinks.
This positive news wasn't enough to offset a disappointing announcement by AGL Energy after the market close on Friday. That announcement revealed that the energy retailer's FY 2020's profits would be hit by upwards of $100 million due to an outage at its Loy Yang A power station in the Latrobe Valley.
Star Entertainment crash to a multi-year low.
The Star Entertainment Group Ltd (ASX: SGR) share price has crashed lower on Tuesday after the casino and resorts operator released a trading update. According to the release, the company has seen its domestic revenue growth slow materially in the second half due partly to challenging macroeconomic conditions. As a result, normalised FY 2019 EBITDA is expected to be lower year on year.
Best and worst performers.
It will come as no surprise to learn which shares are the best and worst performers on the market on Tuesday. Vocus is leading the way with its 11% gain following AGL Energy's takeover offer. Whereas Star Entertainment is far and away the worst performer on the index with a 16% decline after its disappointing trading update.
