ASX 200 up 0.5%: Telstra asset sale, AGL demerger, Nuix crashes again

The ASX 200 is on course to end the financial year in a positive fashion…

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At lunch on Wednesday, the S&P/ASX 200 Index (ASX: XJO) is on course to end the financial year on a positive note. The benchmark index is currently up 0.5% to 7,338.8 points.

Here’s what is happening on the market today:

Telstra asset sales

The Telstra Corporation Ltd (ASX: TLS) share price is shooting higher today after revealing that it has sold a 49% interest in Telstra InfraCo Towers to the Future Fund, Commonwealth Superannuation Corporation, and Sunsuper. InfraCo Towers has ~8,200 towers across Australia, making it the largest provider of mobile tower infrastructure in the country. Telstra expects to receive $2.8 billion after transaction costs. Approximately 50% of net proceeds from the sale are to be returned to Telstra shareholders in FY 2022.

AGL sinks on demerger update

The AGL Energy Limited (ASX: AGL) share price is sinking today after providing an update on its demerger plans. Given shareholder approval, AGL Energy will become Accel Energy, an electricity generation business focused on the accelerating energy transition. It will then demerge a new entity, AGL Australia, which will be a multi-product energy-led retailing and flexible energy trading, storage and supply business. And while it has reaffirmed its guidance, it has terminated its special dividend program because of its demerger plans.

Mining shares rise

One area of the market helping to drive the ASX 200 higher today is the resources sector. The likes of BHP Group Ltd (ASX: BHP), Rio Tinto Limited (ASX: RIO), and South32 Ltd (ASX: S32) are all pushing higher. This has taken the S&P/ASX 200 Resources index 1.2% higher so far today.

Best and worst ASX 200 performers

The best performer on the ASX 200 today has been the Iluka Resources Limited (ASX: ILU) share price with a 9% gain. While there has been no news out of the mineral sands producer, it has recently been tipped as a takeover target. The worst performer has been the Nuix Ltd (ASX: NXL) share price with a 13% decline. News that its recently sacked chief financial officer, Stephen Doyle, is the subject of a criminal investigation into insider trading has spooked investors.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Nuix Pty Ltd. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Nuix Pty Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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