Australian Indexes Gain, Woolworths CEO Retires

Marcus Jacob
17 Jun, 2015
New York City

Australian market indexes opened higher following strong lead from international markets and ahead of the U.S. Fed rate decision later today. Woolworths Limited said chief executive Grant O

[R]5:30 PM Sydney – Australian market indexes opened higher following strong lead from international markets and ahead of the U.S. Fed rate decision later today. Woolworths Limited said chief executive Grant O’Brien has decided to retire and confirmed that the retailer plans to eliminate 1,200 jobs.[/R]

ASX 200 index in Sydney traded higher and the Aussie dollar held firm in volatile trading ahead of the U.S. Fed decision later today.

Australian dollar closed at 77.24 U.S. cents and in stock trading turnover climbed to 910 billion shares worth $6.2 billion.

At close, the ASX 200 Index jumped 59.60 or 1.1% to 5,595.40 and the broader All Ordinaries Index gained 55.10 to 5,590.30.

In commodities trading, gold slid US$5 to US$1,180 an ounce and Brent crude rose 0.19 cents to close at US$63.89 a barrel.

IPO

Adairs Limited surged 10.4% to $2.65 after the home furnishings retailer priced its stock at $2.40.

The stock opened at $2.60 and closed at $2.65.

Australian Stock Movers

Melbourne IT Limited closed unchanged at $1.63 after the web hosting and designing services provider agreed to acquire a majority stake of 50.2% in Outware Systems Pty Ltd for $21.7 million with an option to acquire the remaining stake in the next two years.

Martin Aircraft Company Ltd surged 21.7% to 92.5 cents after the New Zealand focused single pilot jetpack maker signed an agreement with China-based Beijing Voyage Investment Ltd to deliver its manned and unmanned jetpacks.

Separately the company also signed an agreement with the India-based M2K group to establish a sales and marketing headquartered in New Delhi for business in the aviation, biotechnology and hospitality and real estate sectors.

The company also plans to open a European sales centre in Prague with Czech Republic-based Martin Aircraft Company s.r.o.

Pact Group Holdings Ltd closed unchanged at $4.45 after the packaging products maker agreed to acquire Jalco Group, a supplier of outsourced manufacturing and filling in the non-food consumer goods sector for $80 million.