Waste management company Bingo Industries Limited (ASX: BIN) today announced the acquisition of Dial A Dump Industries, a fully integrated recycling and waste management business in New South Wales, for $577.5 million. As per the update, acquisition of privately owned Sydney-based rival Dial-A-Dump for $577.5 million is funded via an underwritten Entitlement Offer of $425 and an issue of Bingo shares to vendors at completion of the Acquisition. In an Entitlement Offer released on Tuesday, Bingo offers 1 fully paid ordinary share in Bingo for every 2.48 Bingo ordinary shares, subject to certain conditions. This offer is underwritten other than in respect of the commitments received from CEO Daniel Tartak, founder Tony Tartak and Mark Tartak.
The procurement is believed to strengthen the scale of ASX listed Bingo, thus setting it to clinch a distinctive position in a fiercely-competitive market. Bingo chief executive Daniel Tartak said, "Scale and size is important if you want to compete at a national level.”
Dial A Dump Industries founder Ian Malouf’s will reportedly join the Bingo board with a shareholding in Bingo of up to 12% post completion of the Entitlement Offer and the Acquisition.
Along with the announcement of new acquisition, Bingo has announced the full year results to 30 June 2018 on the same date. The company reported elephant-sized 91.6% growth in their profit for the fiscal year 2018. The statutory profit after tax increased to $38 million from $19.8 million in FY17. FY18 results outperformed against guidance, with strong growth trajectory of 45% in net revenue and 46% in pro forma EBITDA to $93.7 million. Group’s pro forma earnings before interest and tax increased by 42% to $71.8 million reflecting year-on-year growth driven by enhanced operations in New South Wales and Victoria as well as exposure to new markets. Board declared fully franked final dividend of 2 cents per share which is scheduled for payment on 27 September 2018. There has been strong free cash flow generation, with operating free cash flow of $88.9 million. With the target of increasing network capacity to 3.4 million tonnes per annum by FY20, Bingo remains focused to deliver on its growth strategies and achieve expansion programs in FY19. There has been no daily price change in Bingo Industries’ stock which traded at $2.870 on Tuesday, 21 August 2018.
Dividend Stocks To Buy The Income available from dividends remains attractive for many investors. We take a look at the best yields on the market and assess what they say about a company’s prospect. One Thing is certain, though, Australia interest rates are still low, making income difficult to come by and keeping the focus for many investors on high yielding stocks. Kalkine’s team of analysts bought you handpicked report for “Top 25 Dividend Stocks For 2018.” ASX-relevant Special Reports are published year-round to provide a detailed analysis into an investing opportunity or a potential risk to your portfolio. Click here to get your free report.Disclaimer
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkinemedia.com and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.
As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.
