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ASX 200 falls 0.7%, Qantas and Afterpay make a partnership

ASX 200
Credit: Cimexus

The S&P/ASX 200 Index (ASX: XJO) dropped by 0.7% today to 6,015 points today.

The big news of the day was that the border between Victoria and New South Wales will be shut by midnight tomorrow. Melbourne residents will be cut off first and then the whole Victorian state by 11:59pm on Tuesday, though Victorians will be free to return to Victoria. There were another 127 new cases reported today, including 16 from the locked down public housing towers. Permits will be allowed for people in border towns.

Afterpay Ltd (ASX: APT) and Qantas Airways Limited (ASX: QAN) form a partnership

Australia’s biggest buy now, pay later provider and the country’s biggest airline have formed a partnership.

The new partnership will allow Qantas frequent flyers to earn Qantas points on Afterpay’s buy now, pay later platform. The partnership between the two ASX shares will launch later this week.

Qantas frequent flyers can earn up to 5,000 Qantas points when they link their membership number to their Afterpay account.

Qantas loyalty CEO Olivia Wirth said earning points with Afterpay would be a huge advantage to the program’s large portion of frequent buyers, who maximise their points earned on everyday spending.

Ms Wirth said: “Financial services is one of the most popular ways to earn points in the program, it’s the quickest and easiest way to build your points balance. With our 13 million members all having different spending habits and financial preferences, it’s great to be able to offer more options and more rewards.”

Anthony Eisen, CEO and co-founder of ASX 200 business Afterpay said partnering with one of Australia’s largest and most recognised loyalty programs would provide significant upside for Afterpay customers.

Mr Eisen said: “We are always looking for ways to add value for our customers and this partnership between two iconic Australian brands is a great way to reward them for shopping with Afterpay. Now our customers can earn Qantas points on their purchases at no additional cost, just by using Afterpay as they normally would.”

Event Hospitality and Entertainment Ltd (ASX: EVT) refinances its debt

The company announced today that it has been successful in refinancing its debt. Its debt facilities have been increased by $205 million to $750 million, resulting in available cash and undrawn debt of approximately $320 million.

The majority of cinemas in Australia and New Zealand are now open. There is going to be a restricted opening of the Thredbo winter season from 22 June 2020. The majority of hotels have remained open throughout the COVID-19 shutdown with a number of initiatives implemented to mitigate the impact of the coronavirus.

The ASX share is in the process of divesting sites to allow for the completion of the sale of CineStar. It has also implemented a number of actions to substantially reduce operating costs at a corporate level.

The Event share price dropped 2% today.

WAM Leaders Ltd (ASX: WLE) grows its dividend

WAM Leaders has given some insight into its FY20 result today. The company focuses on shares within the ASX 200.

WAM Leaders’ board has declared a fully franked final dividend of 3.25 cents per share, bringing the FY20 full year dividend to 6.5 cents per share. The FY20 annual dividend is 15% bigger than the FY19 total.

The listed investment company (LIC) stated that its investment portfolio had significantly outperformed during FY20. In the 12 months to 30 June 2020 the investment portfolio outperformed the S&P/ASX Accumulation Index by 10.4% with a positive return of 2.7%. The benchmark fell 7.7%.

Biggest movers of the day

At the positive end of the ASX 200 the Mesoblast Limited (ASX: MSB) share price rose by 11.3% and the oOh!Media Ltd (ASX: OML) share price went up 9.3%.

At the red end of the ASX the Adbri Ltd (ASX: ABC) share price dropped another 6.8% and the Bega Cheese Ltd (ASX: BGA) share price fell 6.4%.

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Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended oOh!Media Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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