Sean K
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Re: SUN - Suncorp-Metway
The technical breakout mentioned above has held and just maybe the long term down trend for this puppy is over. But, I am sure with overall market sentiment it could go back into a tail spin. QLD is one sick State, and while they are so stupid to prevent uranium mining I put them in the 'deserve to go bankrupt' category. How much pain they will take in regard to housing collapses is a big question. And now we're coming up to cyclone seaon. SUN could be attacked on both fronts.
Having said that, I bought this because it just looked oversold, and on the chart.
Also, it does seem clear that this is on the raqdar for either private equity, another bank, or a break up that should release value for shareholders.
NAB downplays its 7pc stake in Suncorp
Richard Gluyas | September 08, 2009
Article from: The Australian
NATIONAL Australia Bank caused a flurry of excitement yesterday when it revealed a 7 per cent holding in perennial takeover target Suncorp.
But the torrent of speculation subsided when the bank confirmed it was a portfolio investment by its wealth arm, MLC.
A NAB spokesman said the notification had been triggered by a recent clarification from the Australian Securities and Investments Commission on lent securities.
"The notice details collateral and securities lending positions associated with business-as-usual funds management and securities lending activities which are part of our custodian services business," the spokesman said.
The news came as NAB unveiled a second bolt-on acquisition for its US-based Great Western Bank, announcing it would take control of 32 branches in Nebraska and Iowa.
The branches, acquired from TierOne Bank for $US39 million ($45.8m), come with $US800m in selected loans and $US1.1 billion in deposits.
In March, NAB chief executive Cameron Clyne flagged he would pursue small-scale opportunities for Great Western to build its presence in the US agricultural belt.
Later that month, NAB announced the $US20m acquisition of 20 First Community Bank branches in Colorado, along with $US444m in loans and $US477m in deposits.
The spokesman said yesterday that the latest deal was consistent with the strategy outlined by Mr Clyne, most recently in the bank's $2.75bn institutional and retail capital raising.
"The opportunity represents an addition to the existing Great Western franchise in Nebraska and Iowa, which are two the most productive agricultural regions in the US, ranked second and fifth in agricultural exports," he said.
"Great Western is only acquiring performing loans that fit our underwriting standards."
The acquisition, according to the spokesman, would absorb 4 basis points of tier one capital, with the assets more than fully funded by deposits. Mr Clyne's predecessor, John Stewart, paid about $900m for Great Western in November 2007.
It was a deal that attracted considerable controversy.
Even though it was spruiked as an agri-banking acquisition, where NAB claimed it had a competitive advantage, the US subprime lending crisis had started to unfold and NAB was seen as having overpaid. Also, there were no synergies with existing operations.
Mr Clyne, however, has started building on the base he inherited from Mr Stewart.
Great Western president and chief executive Jeff Erickson said that, with the TierOne deal, the bank's assets would expand to $US6.5bn, with 157 branches serving 89 communities through the agricultural belt.
"The addition of these branches is consistent with our strategic growth plans both in the Omaha metro area and in Nebraska," Mr Erickson said.
The transaction is subject to regulatory approvals and is expected to close late this year
http://www.theaustralian.news.com.au/business/story/0,28124,26040368-643,00.html
The technical breakout mentioned above has held and just maybe the long term down trend for this puppy is over. But, I am sure with overall market sentiment it could go back into a tail spin. QLD is one sick State, and while they are so stupid to prevent uranium mining I put them in the 'deserve to go bankrupt' category. How much pain they will take in regard to housing collapses is a big question. And now we're coming up to cyclone seaon. SUN could be attacked on both fronts.
Having said that, I bought this because it just looked oversold, and on the chart.
Also, it does seem clear that this is on the raqdar for either private equity, another bank, or a break up that should release value for shareholders.
NAB downplays its 7pc stake in Suncorp
Richard Gluyas | September 08, 2009
Article from: The Australian
NATIONAL Australia Bank caused a flurry of excitement yesterday when it revealed a 7 per cent holding in perennial takeover target Suncorp.
But the torrent of speculation subsided when the bank confirmed it was a portfolio investment by its wealth arm, MLC.
A NAB spokesman said the notification had been triggered by a recent clarification from the Australian Securities and Investments Commission on lent securities.
"The notice details collateral and securities lending positions associated with business-as-usual funds management and securities lending activities which are part of our custodian services business," the spokesman said.
The news came as NAB unveiled a second bolt-on acquisition for its US-based Great Western Bank, announcing it would take control of 32 branches in Nebraska and Iowa.
The branches, acquired from TierOne Bank for $US39 million ($45.8m), come with $US800m in selected loans and $US1.1 billion in deposits.
In March, NAB chief executive Cameron Clyne flagged he would pursue small-scale opportunities for Great Western to build its presence in the US agricultural belt.
Later that month, NAB announced the $US20m acquisition of 20 First Community Bank branches in Colorado, along with $US444m in loans and $US477m in deposits.
The spokesman said yesterday that the latest deal was consistent with the strategy outlined by Mr Clyne, most recently in the bank's $2.75bn institutional and retail capital raising.
"The opportunity represents an addition to the existing Great Western franchise in Nebraska and Iowa, which are two the most productive agricultural regions in the US, ranked second and fifth in agricultural exports," he said.
"Great Western is only acquiring performing loans that fit our underwriting standards."
The acquisition, according to the spokesman, would absorb 4 basis points of tier one capital, with the assets more than fully funded by deposits. Mr Clyne's predecessor, John Stewart, paid about $900m for Great Western in November 2007.
It was a deal that attracted considerable controversy.
Even though it was spruiked as an agri-banking acquisition, where NAB claimed it had a competitive advantage, the US subprime lending crisis had started to unfold and NAB was seen as having overpaid. Also, there were no synergies with existing operations.
Mr Clyne, however, has started building on the base he inherited from Mr Stewart.
Great Western president and chief executive Jeff Erickson said that, with the TierOne deal, the bank's assets would expand to $US6.5bn, with 157 branches serving 89 communities through the agricultural belt.
"The addition of these branches is consistent with our strategic growth plans both in the Omaha metro area and in Nebraska," Mr Erickson said.
The transaction is subject to regulatory approvals and is expected to close late this year
http://www.theaustralian.news.com.au/business/story/0,28124,26040368-643,00.html