At lunch on Monday the S&P/ASX 200 Index (ASX: XJO) has followed the lead of Wall Street and is edging higher following a shaky start to the day. The benchmark index is up slightly to 6,076.7 points.
Here's what has been happening on the market today:
Fortescue sinks lower.
The Fortescue Metals Group Limited (ASX: FMG) share price is sinking over 7% lower on Monday. But rather than being driven by operational issues or broker notes, this decline is almost entirely attributable to its shares trading ex-dividend this morning. The iron ore producer is paying shareholders a final fully franked $1.00 per share dividend. Based on its last close price, this equates to a 5.3% dividend yield.
NAB sells MLC Wealth to IOOF.
The National Australia Bank Ltd (ASX: NAB) share price is pushing higher today after announcing a deal to sell its MLC Wealth business to IOOF Holdings Limited (ASX: IFL). NAB has entered into a sale and purchase agreement to sell MLC Wealth for a purchase price of $1,440 million. This comprises $1,240 million in cash proceeds and $200 million in the form of a 5-year structured subordinated note in IOOF. Management notes that this is in line with its strategy to simplify and focus on its core banking business.
Lendlease strategy update.
The Lendlease Group (ASX: LLC) share price has been a strong performer on Monday after releasing its strategy for the next decade. Lendlease is aiming to employ its placemaking expertise and integrated business model in global gateway cities to deliver urbanisation projects and investments that generate social, environmental, and economic value.
Best and worst ASX 200 performers.
The best performer on the ASX 200 on Monday has been the Costa Group Holdings Ltd (ASX: CGC) share price with a 7% gain. Investors have been buying the horticulture company's shares after Morgans retained its add rating and lifted its price target to $3.70. The worst performer is the Orocobre Limited (ASX: ORE) share price with a 10% decline. This morning the lithium miner completed its institutional placement. It raised $126 million at a 13.1% discount of $2.52.
