ASX 200 rises, Macquarie up, Rural Funds launches capital raising

The ASX 200 rose today. Macquarie revealed it's buying a division from AMP.

bull market encapsulated by bull running up a rising stock market price

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 Index (ASX: XJO) rose by around 0.2% today to 7,341 points.

Here are some of the highlights from the ASX:

Macquarie Group Ltd (ASX: MQG) and AMP Limited (ASX: AMP)

Macquarie announced today that Macquarie Asset Management is going to buy AMP Capital's global equity and fixed income (GEFI) business, including fixed income, Australian listed equities, listed real estate and listed infrastructure, for a purchase price of up to $185 million.

The AMP GEFI business currently manages approximately $60 billion in assets under management (AUM) for AMP Australia as well as external institutional, retail and direct clients. As a result of the transaction, Macquarie Asset Management's pro forma AUM will be approximately A$720 billion.

Ben Way, head of Macquarie Asset Management, said:

This transaction represents another opportunity, following our recent acquisition of Waddell & Reed, to add scale and expand our public investment capabilities. It cements Macquarie's position as the leading investment manager in Australia by AUM, and provides new clients joining us from AMP Capital with access to Macquarie's diversified investment offerings and global platform. Clients will be at the centre of our considerations as we work closely with AMP on a successful integration.

The Macquarie share price ended the day higher by 0.4% and the AMP share price went up around 0.5%.

Rural Funds Group (ASX: RFF)

ASX 200 agricultural real estate investment trust (REIT) Rural Funds saw its shares go into a trading halt today to announce a capital raising.

It's doing a 1 for 8.4 accelerated pro rata non-renounceable entitlement offer to raise $100 million.

Rural Funds explained that throughout FY20 and FY21, it has acquired $104 million of land and water in Rockhampton, Bundaberg and Maryborough for the development of 5,000 hectares of macadamia orchards. Planting has commenced at Maryborough, with 500 hectares to be planted by November 2021. An additional 500 hectares will be planted by June 2022. The equity raising will provide the funding for these developments.

The money will also be used for acquisitions. It's looking to acquire additional cattle properties which are likely to have similar productivity development potential as Rural Funds' existing cattle properties.

Rural Funds also said $38.4 million will be used to buy water entitlements in the NSW Riverina, which are leased to a private farming company for a term of five years. Rural Funds said it believes demand for secure water in this region will increase over the long-term, as permanent plantings such as almond orchards continue.

The capital raising price is $2.47, a 5% discount to Rural Funds' last closing price on 7 July 2021.

Rural Funds confirmed its forecast FY22 distribution of 11.73 cents per unit, being a 4% increase on FY21.

Pointsbet Holdings Ltd (ASX: PBH)

The Pointsbet share price fell around 1% today.

The ASX 200 corporate bookmaker announced that it has appointed NFL all-time great and future hall of famer Drew Brees as a global brand ambassador.

Pointsbet said that Brees, who is starting a broadcasting career with NBC Sports, will deepen the NBC Sports and Pointsbet relationship as the company continues to expand and realise the growing North American online sports betting opportunity.

Brees will both star in and help develop original content for Pointsbet, providing sports betting education and commentary, host events and steer marketing and promotional concepts, among other areas.

Mr Brees will be issued with 202,940 Pointsbet shares, released in equal proportions after one year, two years and three years from the issue date.

Motley Fool contributor Tristan Harrison owns shares of RURALFUNDS STAPLED. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Pointsbet Holdings Ltd. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited and RURALFUNDS STAPLED. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Three healthcare workers look and point at at medical image
Share Market News

Pro Medicus shares surge 10% to crack $300 as healthcare leads ASX 200 sectors

Pro Medicus shares just keep on going, rising 625% over the past three years.

Read more »

Magnifying glass in front of an open newspaper with paper houses.
Share Market News

How did ASX REITs vs. residential property investment perform in FY25?

We review the share price growth of the largest ASX REITs vs. residential property investment in FY25.

Read more »

A man and woman sit next to each other looking at each other and feeling excited and surprised after reading good news about their shares on a laptop.
Broker Notes

These ASX 200 shares could rise 55% to 65%

Analysts think these shares are dirt cheap at current levels.

Read more »

Young man with a laptop in hand watching stocks and trends on a digital chart.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

a man sits at his desk wearing a business shirt and tie and has a hearty laugh at something on his mobile phone.
Broker Notes

Why DroneShield, Nickel Industries, and CSL shares could be best buys

Let's see why Bell Potter is so bullish on these shares.

Read more »

A group of executives sit in front of computer screens in a darkened room while a colleague stands giving a presentation with a share price graphic lit up on the wall
Opinions

2 ASX 200 large-cap shares that this fundie is cashing in after phenomenal growth

Shaw and Partners portfolio manager James Gerrish says he knows this will be an 'unpopular call'.

Read more »

Animation of a man measuring a percentage sign, symbolising rising interest rates.
Share Market News

Here's what Westpac says the RBA will do with interest rates next week

Are interest rates heading lower again? Let's find out what the banking giant is predicting.

Read more »

A handsome smiling man sits in the front seat of an electric vehicle with his hands on the wheel feeling pleased that the Carsales share price is going up and the company will shortly pay its biggest dividend ever
Share Market News

Are electric vehicle stocks a good investment today?

Did US President Trump just kill the EV industry?

Read more »