WBC Share Price History
08 May, 2021
Westpac Banking Corporation ( ASX:WBC ) stock is about to trade ex-dividend in 4 days. You will need to purchase shares...
05 May, 2021
(Bloomberg) -- Australia’s securities regulator is probing Westpac Banking Corp. on allegations of insider trading, just months after the country’s second-biggest lender paid a record fine to settle breaches of anti-money laundering laws.The allegations relate to Westpac’s role in executing a A$12 billion ($9.3 billion) interest-rate swap transaction with a consortium of AustralianSuper Pty Ltd. and a group of IFM entities in October 2016, according to a statement on Wednesday from the Australian Securities & Investments Commission.The probe comes after Westpac paid an A$1.3 billion fine for violating rules to prevent money laundering last year, capping a saga that dented the bank’s reputation and cost former Chief Executive Officer Brian Hartzer his job. Scrutiny on the nation’s biggest banks remains intense after years of scandals and a litany of misbehavior plagued the institutions at the heart of Australia’s economy. “The sad reality is the banks are often absorbing remediation costs, litigation costs, and penalties,” said Nathan Zaia, Sydney-based analyst at Morningstar Inc. It’s too early to know whether Westpac will be fined, though “we don’t envisage it being large enough to materially damage the equity value of the bank,” he said.Westpac said it’s taking the new allegations seriously and is considering its position. Shares ended Wednesday down 0.1% in Sydney.Inside InformationASIC said it began proceedings Wednesday against the firm in the Federal Court for insider trading, unconscionable conduct and breaches of its Australian financial services licensee obligations.According to the allegations, at about 7 a.m. on Oct. 20, 2016, the AustralianSuper consortium signed an agreement with the New South Wales government for the acquisition of Ausgrid, the state’s electricity infrastructure owner.The regulator alleges that by about 8:30 a.m. Westpac knew, or believed, it would be selected by the consortium to execute the interest rate swap transaction on that morning. ASIC alleges this was inside information.Read more here on ASIC’s concise statement filed in the courtThen, when the market opened at 8:30 a.m., Westpac traders bought and sold interest rate derivative products in order to pre-position Westpac in anticipation of the execution of the swap transaction, according to the ASIC statement. The bank executed the trade at 10:27 a.m., the regulator said.Westpac didn’t provide the consortium with full disclosure about its intention to pre-position its trading books prior to executing the swap transaction, ASIC said.Interest rate swaps are futures contracts that aren’t traded on public exchanges.The New South Wales government sold a 50.4% stake in the power network Ausgrid in a deal that at the time valued the entire company at about A$20.8 billion. As part of the transaction, a special purpose vehicle was set up in syndicated debt funding. The accompanying interest rate swap transaction, valued at about A$12 billion, remains the largest such transaction in the history of Australian capital markets, ASIC said.Improvements Made?In 2018, Westpac was fined A$3.3 million for engaging in “unconscionable conduct” in attempting to manipulate Australia’s bank-bill swap rate. Earlier that year it was cleared of allegations its traders rigged that key money market rate, which is used to price trillions of dollars in derivatives.ASIC’s case is being helmed by Philip Crutchfield QC, a lawyer who also led the case against banks including Westpac for alleged bank-bill swap manipulation.Wednesday’s allegations come just months after Westpac last year settled with AUSTRAC, the government agency responsible for weeding out criminality in the financial system, paying the largest levy ever against an Australian firm.“It’s fair for investors to be disappointed when they hear the bank undertaking in questionable conduct, but this was a few years ago,” said Morningstar’s Zaia. A long-running government inquiry into the financial industry along with the AUSTRAC fine has “hopefully” improved regulatory and compliance framworks, and lowered the risk of such things happening again, he said.(Updates with share price in fifth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Australia's corporate watchdog accused Westpac Banking Corp of insider trading while financing a A$16 billion ($12 billion) energy grid privatisation in 2016, the latest in a series of regulatory problems for the country's No. 2 lender. The Australian Securities and Investments Commission (ASIC) said Westpac knew it had won the contract to help two pension funds buy Ausgrid, a state-owned power supplier to millions of people around Sydney, for two hours while it bought A$12 billion of derivative products to support the deal. "The Ausgrid information was not generally available and it was information which, if generally available, a reasonable person would expect to have a material effect on the price or value of the traded products," ASIC said in a civil lawsuit filed on Wednesday.
Australia’s corporate watchdog is suing Westpac for alleged insider trading and breach of licence over the lender’s role in an A$12bn ($9.3bn) debt deal linked to the privatisation of the nation’s biggest electricity distributor. The case, which the Australian Securities and Investments Commission filed on Wednesday, is expected to shine a light on the opaque world of derivatives trading and internal controls at the country’s second-largest bank by assets. The allegations come as Westpac attempts to rebuild its reputation following money-laundering allegations and a public inquiry into financial sector misbehaviour.
03 May, 2021
(Bloomberg) -- Westpac Banking Corp.’s half-year profit climbed as a continued recovery in the nation’s economy drove a further reduction in pandemic loan-loss provisions at Australia’s second-largest lender.Cash earnings rose to A$3.5 billion ($2.7 billion) in the six months through March 31, compared with A$993 million in the same period a year earlier, the Sydney-based bank said in a statement Monday. That beat the A$3.4 billion average estimate of three analysts surveyed by Bloomberg. The firm will pay a 58 Australian cent interim dividend.Westpac is the first bank Down Under to update investors this earnings season amid a V-shaped rebound in the economy that’s allowing lenders to wind back bad-debt provisions faster than initially expected. Chief Executive Officer Peter King is helming the firm’s sharper focus on core banking and efforts to drive down costs.“Most significantly, unemployment is falling and there are more people employed now than pre-COVID,” King said in the statement. “A strong labor market will continue to support growth in the economy.”The firm’s mortgage book for Australia grew by A$2.6 billion over the six months as an expansion in owner-occupier loans offset lower lending to investors. King warned that house-price growth will moderate as more homes come on the market for sale.Westpac will target an A$8 billion cost base by the full year of 2024, according to the statement. Meantime, the lender continued to reduce its branch network, shutting 40 in the first half of the year.These are “solid results overall,” Goldman Sachs Group Inc. analysts led by Andrew Lyons, wrote in a report. Key InsightsNet interest margin on cash basis rose to 2.09% from 2.03%Return on equity climbed to 10.2% from 2.94%Westpac expect costs to increase in full-year 2021, before starting to fall in 2022Westpac New Zealand CEO David McLean will retire after more than 20 years with the group; firm continues to assess future of its NZ unitThe firm will see a A$372 million impairment benefit after booking a A$2.24 billion charge in the earlier periodMarket Reaction The shares rose 2.9% as of 10:10 a.m. in Sydney, extending this year’s surge to 33%. What Bloomberg Intelligence Says “The dividend of 58 cents a share and 60% payout ratio is a bit disappointing,” said Matt Ingram, a Sydney-based analyst at Bloomberg Intelligence. “And the cost target, where they are talking about taking more than $2 billion out by 2024, is hugely ambitious.”Get MoreFor more information on the results, click here.(Adds detail on Monday shares trading, cost cutting plans from sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
21 Apr, 2021
Series 2008-1M WST Trust -- Moody's: No adverse rating impact on Series 2008-1M WST Trust following collateral substitution
Alternatively, please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.Moody's opinion addresses only the credit impact associated with the proposed Substitution, and Moody's is not expressing any opinion as to whether the proposed Substitution has, or could have, other non-credit related effects that may have a detrimental impact on the interests of holders of rated obligations and/or counterparties.This publication does not announce a credit rating action. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history. Alena Chen VP - Senior Credit Officer Structured Finance Group Moody's Investors Service Pty. Ltd. Level 10 1 O'Connell Street Sydney NSW 2000 Australia JOURNALISTS: 61 2 9270 8141 Client Service: 852 3551 3077 Ilya Serov Associate Managing Director Structured Finance Group JOURNALISTS: 61 2 9270 8141 Client Service: 852 3551 3077 Releasing Office: Moody's Investors Service Pty. Ltd. Level 10 1 O'Connell Street Sydney NSW 2000 Australia JOURNALISTS: 61 2 9270 8141 Client Service: 852 3551 3077 © 2021 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”).
25 Mar, 2021
flexicommercial ABS Trust 2021-1 -- Moody's assigns definitive ratings to flexicommercial's first commercial auto and equipment ABS transaction for 2021
This is flexicommercial's first auto and equipment asset backed securities transaction for 2021.Flexicommercial has been providing commercial asset finance to Australian businesses for over 20 years. To address this risk and the fact that the portfolio has a very high proportion of Matrix (approximately 70.0%), we have applied further qualitative stresses in our analysis.Risks arising from the lack of income verification for these borrowers are partly mitigated by the stringent requirements to access this product.
24 Mar, 2021
Westpac Banking Corporation - Covered Bond Programme -- Moody's: No rating impact on Westpac Banking Corporation - Covered Bond Programme following amendments
Alternatively, please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.This publication does not announce a credit rating action. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history.
23 Mar, 2021
The Reserve Bank of New Zealand on Wednesday raised concerns around risk governance processes in Westpac's unit in the country and has asked the lender to commission two independent reports to address them. The central bank said it was raising Westpac NZ's required holding of liquid assets until it was satisfied that the remediation work was complete and effective. "We have experienced ongoing compliance issues with Westpac NZ over recent years, most recently involving material failures to report liquidity correctly," RBNZ Deputy Governor Geoff Bascand said in a statement.
18 Mar, 2021
Arch Capital (ACGL) agrees to purchase WLMI to prop up its mortgage insurance business in Australia.
Arch Capital Group is acquiring Westpac Lenders Mortgage Insurance Limited (WLMI) through a share purchase agreement. WLMI is a captive lenders mortgage insurance provider to Westpac and had shareholders’ equity of $AUD 285.7 million at the end of September 2020. This acquisition secures Arch Capital’s (ACGL) Australian LMI flow of business from Westpac Bank. The transaction is expected to close later in 2021, subject to regulatory approvals. Arch Capital’s CEO, Global Mortgage, David Gansberg, said, “Australia has been and continues to be an important market for our mortgage insurance business. This acquisition reinforces our commitment to both the market and our clients and enhances Arch’s position as a leading provider of LMI in Australia.” Gansberg further added, “We look forward to continuing our long-standing partnership with Westpac by being their exclusive provider of LMI and will remain focused on providing innovative solutions and excellent service to clients across Australia.” Arch Capital plans to combine operations of WLMI with its Australian LMI company, Arch LMI. Under the agreement, WLMI will become the exclusive provider of LMI on new mortgage originations to Westpac for a period of 10 years. (See Arch Capital stock analysis on TipRanks) Recently, JMP Securities analyst Matthew Carletti upgraded the stock to Buy from Hold with a price target of $43 (14.4% upside potential). Carletti highlighted the stock’s “consistently strong operating results and proactive cycle management.” Turning to the rest of the Street, the stock has a Moderate Buy consensus rating alongside an average analyst price target of $41.29 (9.8% upside potential), based on 5 Buys and 2 Holds. Shares have risen about 25.3% over the past year. Related News: Lennar’s 1Q Results Top Analysts’ Expectations As Housing Market Picks Up Five Below Pops 5.7% After Posting A Blowout Quarter Progressive Slips Despite A Five-Fold Jump In February Earnings More recent articles from Smarter Analyst: Host Hotels & Resorts Snaps Up Hyatt Regency Austin For $161M Thursday’s Pre-Market: Here’s What You Need To Know Before The Market Opens Semtech’s 4Q Results Beat Analysts’ Expectations As Sales Outperform; Shares Gain 3% Upstart Holdings’ 4Q Results Exceed Expectations; Shares Skyrocket Pre-Market
Australia's Westpac Banking Corp said on Thursday it will sell its lenders mortgage insurance (LMI) business to Arch Capital Group in a deal that will also make Arch Westpac's exclusive LMI supplier for 10 years. The sale, which is expected to close by the end of August, is the latest step in Westpac's efforts to simplify its operations and cut costs by focusing on its core domestic and New Zealand businesses. Westpac, Australia's third largest lender, said it will record a loss on the sale, though the deal is expected to add about seven basis points to its common equity tier 1 capital ratio.
17 Mar, 2021
Australia's Westpac Banking Corp said on Wednesday it will combine its consumer and business divisions, as it looks to further simplify its operations. The consumer division serves customers under the Westpac, St.George and Bank of Melbourne brands, while the business division includes sales to micro, small-to-medium enterprises, commercial business and private wealth clients. The country's third-largest lender said its new consumer and business banking division will be led by Chris de Bruin, the current chief executive officer of the consumer unit.
09 Mar, 2021
In this article, we will take a look at the 15 Most Valuable Australian Companies. You can skip our detailed analysis of Australia’s economy and go to the 5 Most Valuable Australian Companies. Australia proved to be one of the most resilient economies in the wake of the coronavirus crisis. The Australian Bureau of Statistics (ABS) announced […]
01 Mar, 2021
flexicommercial ABS Trust 2021-1 -- Moody's assigns provisional ratings to flexicommercial's first commercial auto and equipment ABS transaction for 2021
The Matrix product allows obligors who meet certain stringent requirements to access the loan without providing financial statements;- The evaluation of the capital structure;- The availability of excess spread over the life of the transaction;- The liquidity facility in the amount of 1.50% of the rated note balance subject to a floor of AUD300,000;- The interest rate swap provided by Westpac Banking Corporation (Aa3/P-1/Aa2(cr)/P-1(cr)).Initially, the Class A, Class B, Class C, Class D, Class E and Class F Notes benefit from 33.00%, 23.30%, 17.70%, 14.20%, 8.67% and 6.50% of note subordination, respectively.The notes will initially be repaid on a sequential basis until the credit enhancement of the Class A Notes is at least 45%. Should the Class A Notes credit enhancement exceeds 45% the Class A to Class F Notes will be paid pro-rata and senior to the Class G Notes until such point that the Class G Notes subordination equals or exceeds 13%.
23 Feb, 2021
Westpac Banking Corp tops the list
14 Jan, 2021
While it may not be enough for some shareholders, we think it is good to see the Westpac Banking Corporation ( ASX:WBC...
15 Dec, 2020
These large caps could be solid investments
30 Nov, 2020
Our extensive research has shown that imitating the smart money can generate significant returns for retail investors, which is why we track nearly 817 active prominent money managers and analyze their quarterly 13F filings. The stocks that are heavily bought by hedge funds historically outperformed the market, though there is no shortage of high profile […]
23 Nov, 2020
The Rosen Law Firm, P.A. Announces Proposed Class Action Settlement on Behalf of Purchasers of Westpac Banking Corporation Securities -- WBK
The Rosen Law Firm, P.A. announces that the United States District Court for the District of Oregon has approved the following announcement of a proposed class action settlement that would benefit purchasers of Westpac Banking Corporation Securities (NYSE: WBK):