Merger

An independent expert has provided positive valuation to the $3 billion worth of Kerry Stokes plan to merge WesTrac and Seven Network (SEV) while the major institutional investors have made it very clear that they are going to conduct their separate research before making up their mind regarding it. It is to be mentioned that Mr.

The collapse of the planned merger of Rio Tinto (RIO) and Chinalco worth up to $19.5 billion on June 5 2009, has been accepted by the Chinese government as a failure that was beyond their control. The report to the State Council exonerates the resources company and the Australian government and accepts that ordinary economic forces halted the largest Chinese foreign investment deal.

The executive chairman of Seven Network (SEV) Kerry Stokes is looking forward to achieve further strength in the corporate sector through the $3 billion worth of merger of his mining and media operations. However, Mr. Stokes will be required to convince the market that the merger is going protect the best interest of the investors.

Two corporate giants in the mining industry, BHP Billiton (BHP) and Rio Tinto (RIO) are reported to moving ahead with the massive plan to merge their iron ore operation in Western Australia.

Westpac Banking Corporation (WBC), a multinational financial service company, is expected to save $400 million by 2011 as a result of acquiring St George Bank (SGB). The bank estimated that it would gain $365 million in the next three years due to 20-25% of cost reduction and this figure has been upgraded because of the takeover. It is also expected that, about 2000 staffs will be sacked in this merge.

National Bank of Australia is planning to offer a counter bids on St. George. The Chief Executive of NAB commented that his bank is looking at options to run numbers on St George bank takeover. "We look at all opportunities and in due course we will look at this transaction, but just now we're literally on the sidelines watching with interest what is happening," said Mr. Stewart at the National Press Club lunch in Canberra.

Merger of two big financial institutions of Australia – Westpac Banking Corporation and St George is likely to be announced today. Westpac revealed yesterday that it is in talks with St George for a possible merger between the two.