Former Super Retail Group co-company secretary Amelia Berczelly can now be named as one of two company secretaries who have become whistleblowers against the retailer in a court battle over allegations of bullying and harassment.
Ms Berczelly also held the position of general manager, group secretariat and corporate legal at Super Retail.
She was previously only known as ‘Whistleblower X’, but in the Federal Court on Wednesday afternoon the suppression of her identity was lifted.
Ms Berczelly’s lawyers, Harmers, claim she is a key whistleblower speaking up about serious corporate governance issues within Super Retail, having lodged her first formal whistleblower report with certain members of the Super Retail board and its external auditor in mid-February 2024. She joins former chief legal officer Rebecca Farrell in taking court action against Super Retail.
Ms Berczelly's request for confidentiality was in part "due to her ill health, caused by Super Retail’s treatment of her," said Ms Berczelly's lawyers.
"Amelia supports her former co-secretary, Rebecca Farrell, in her brave stand against Super Retail. Like Rebecca, Amelia is a senior lawyer and is acutely aware of their overarching obligations as officers of the court."
ASX 200 rises; RBNZ surprise rate cut; CBA cash profit slips; ASIC sues ASX; APRA orders review into CFMEU-linked super funds
RBNZ begins easing with first rate cut since 2020. ASIC sues ASX over CHESS statements. APRA orders review into CFMEU-linked super funds. CBA profits slip. Seven Group underlying profit jumps, Seven West Media earnings sink.
Welcome to the Trading Day blog for Wednesday, August 14. The ASX 200 index trimmed early gains, closing 0.3 per cent higher to 7859.70 points.
The Aussie dollar is trading around US66.41c at 5.30pm AEST.
More Coverage
Updates
Second Super Retail whistleblower named
ASX 200 rise fades as iron ore falls
Australia's stock market rose slightly to an eight-day high after strong US gains after encouraging PPI data as markets awaited US CPI data on Wednesday.
However, the local bourse trimmed most of its intraday gain as the materials sector was hit by tumbling iron ore prices and iron ore dived.
And while CBA rose as its results showed better than expected net interest margins, and higher than expected dividend and share buyback extension, Aussie banks came off their highs after the RBNZ cut rates, trimming net interest margins.
The S&P/ASX 200 index closed up 0.3 per cent at 7850.7 after rising to 7910.2
Tech, health care, property, industrials, utilities, communications, discretionary, staples and financials led with WiseTech up 2.6 per cent, CSL up 2 per cent, Goodman up 3.1 per cent, Transurban up 1.1 per cent, AGL up 2.3 per cent, REA Group up 3.5 per cent, Wesfarmers up 0.8 per cent, Coles up 0.9 per cent and CBA up 1.3 per cent. Evolution soared 6.6 per cent on a stronger than expected report.
But BHP, Rio Tinto and Fortescue fell 2.8-4.6 per cent with Fortescue weakest as Singapore iron ore futures fell 3 per cent to a four-month low of $US95.05.
Iron ore fell as the chair of China Baowu Steel Group – the world's biggest producer – warned of a "severe" industry crisis, worse than the 2008 and 2015 slumps.
Super Retail relents, second whistleblower to be named
Lawyers for Super Retail Group have dropped their opposition to a second whistleblower remaining confidential in the class action against the retailer, with the media soon to learn the name of the second executive taking action against the company.
Appearing before Justice Michael Lee in the Federal Court, Shane Prince SC said his client would not fight to keep the identity of ‘Whistleblower X’ confidential.
Sacked former Super Retail chief legal officer Rebecca Farrell is taking action against her former employer for bullying and harassment and is joined by a second executive who until now has been simply known as 'Whistleblower X'.
Ms Farrell and 'Whistleblower X' walked into the Federal Court together before the hearing started, flanked by their lawyer.
Lawyers acting for the media are currently arguing before Justice Lee for redacted segments of Ms Farrell’s statement of claim to be lifted in order to learn key details of the case and an alleged settlement Ms Farrell’s lawyers claim to have reached with Super Retail.
ASX chair change coming: shareholder groups
Shareholder groups and investors have rounded on ASX following allegations it misled the market on its botched CHESS replacement project, with long-serving chairman Damian Roche under renewed pressure to give a timeline for his exit in the wake of the latest controversy.
Australian Shareholders Association chief executive Rachel Waterhouse on Wednesday said she expected "an announcement on the timing of a change in the chair ASAP", as she called for a review of the exchange’s governance processes.
"The CHESS replacement project has been a shambles for many years. The ASIC legal action is around the importance of transparency and accuracy, and there needs to be consequences where market regulation may be breached," she said.
"If these allegations are proven true, that will highlight a full breakdown in trust, which will be very hard to restore."
The corporate regulator on Wednesday said it was suing ASX over "misleading and deceptive" statements the exchange made to investors in February 2022 on how the CHESS replacement project was progressing.
Don't bank on CBA shares: VanEck
CBA shares still offer a "poor risk-return reward" despite a better than expected net interest margin and increase in the dividend, according to VanEck.
“CBA’s valuation is still stretched and disproportionate to global peers," says VanEck Portfolio Manager Cameron McCormack. "No sell-side analyst has been recommending CBA at the current price. These results won’t change that."
CBA is the most expensive bank in the developed world, with a 12-month PE multiple of about 23 times earnings, even as its earnings growth continues to stagnate.
While it lifted the final dividend to $2.50 a share, CBA's dividend yield of about 3.8 per cent is well below long-term averages of about 5 per cent plus franking.
"At some point in time, CBA’s valuation will revert to a level that is aligned to Australian banks or even possibly global banks," Mr McCormack says.
"For this reason, we are of the view that CBA offers a poor risk-return reward, having higher downside risk compared to the rest of the market.”
CBA shares were last up 0.5 per cent at $133.25 afte rising to $134.59 earlier.
Iron ore price fall weighs down miners
A new four-month low for iron ore prices is weighing on Australia's heavy-weight miners.
Iron ore futures are down more than 2 per cent to $US96.50 per tonne on the Singapore exchange.
At 1.45pm AEST, BHP's share price is down 1.7 per cent to $40.05, Rio Tinto is off 1.4 per cent to $113.81 and Fortescue has shed nearly 2 per cent to $17.81.
The materials index is the only red spot on the bourse in afternoon trading, down 0.6 per cent.
ASX 200 trims rise to 0.5pc after RBNZ rate cut
RBNZ's interest rate cut had a slight negative impact on the big four banks.
The big banks fell about 0.7-1.5 per cent from their intraday peaks.
That trimmed a rise in Australia's S&P/ASX 200 stock index to 0.5 per cent.
The ASX 200 rose 1.1 per cent to a seven-day high of 7910.2 points earlier.
Bloomberg estimates that the big four face margin declines of up to 4 basis points in 2025 after the RBNZ unexpectedly cut rates 25 basis points to 5.25 per cent.
But all sectors except energy remain in the green after big gains on Wall Street after lower than expected US PPI fuelled expectations of Fed rate cuts.
NAB is down 0.9 per cent, ANZ is flat, Westpac is up 0.9 per cent and CBA is up 0.7 per cent after rising 1.5 per cent after better than expected results.
Tom Waterhouse inks deal with microcap
Racing and wagering data microcap RAS Technology Holdings has lined up strategic and funding support from well-known industry identity Tom Waterhouse.
The partnership with Waterhouse VC and its service company Waterhouse Contractor is set to accelerate growth for RAS by expanding opportunities and the pipeline," RAS told its investors, stating the initial term of the agreement was for 36 months.
Waterhouse VC will provide access to its global network and advisory services in relation to sales referrals, acquisitions and other commercial deals, which leverage Racing and Sports core products and services, including its trading technologies, complete racing solution stack as well as premium content and analytics.
In return, Waterhouse VC has been invited on the RAS register as a strategic investor through the placement of approximately 1.137 million shares to raise $1.35m before costs and the issue of approximately 1.137 million options with a strike price of $1.40 and expiring 36 months from the completion of the placement. Completion of the placement is expected to occur on August 23.
In addition to the placement options, Waterhouse VC will be granted 4.55 million options for the issue of additional shares comprising up of a further 10 per cent of the shares currently on issue broken into six tranches.
Waterhouse VC managing director Tom Waterhouse said: "We see significant opportunities to leverage the Waterhouse VC network, built through 20 years in the industry and managing a wagering industry fund for five years, to deliver commercial partnerships and potential significant revenue for RAS."
UBS starts Guzman y Gomez at Neutral
UBS starts Guzman y Gomez coverage with a Neutral rating and $31 target.
"GYG is well positioned in our quick service restaurant valuation evaluation framework with attractive operational and financial attributes," says UBS analyst Shaun Cousins.
He sees revenue supported by mid-single digit same store sales growth in Australia and double digit store growth
In his view it can grow faster than the broader Australian QSR market due to a higher skew to younger consumers; more drive through locations and ongoing investment in delivery, a quality product that is customisable and covers all dayparts, its ability to handle peak trading, its locations and management.
Cousins says GYG is trading on a 12-month forward EV/EBITDA multiple which is "elevated, but reasonable compared to high growth US QSRs trading on an average of 61 times."
He sees upside risk to prospectus forecasts for FY24 and FY25 on GYG brand momentum post IPO. GYG shares were last up 1.6 per cent at $30.07.
Too early to say on ASX penalties: ASIC
Financial regulator ASIC's deputy chair Sarah Court would not reveal specifics about penalties ASIC will seek as part of its proceedings against sharemarket operator ASX.
The Australian Securities and Investments Commission is suing the ASX over claims about misleading statements around how the CHESS replacement project was tracking
"We're at a really early stage. So the way that these cases work is we file the matter in court. The court then determines whether or not there's been a contravention, defines all of the facts that are said to make up that contravention, and down the track, will ultimately impose a penalty," Ms Court said.
"So a bit too early to say at the moment, but certainly we will be seeking penalties as part of the proceedings."
Shares are down nearly 4 per cent to $63.41 at 12.20pm AEST.
ASX 200 down 0.6pc after record high but CBA hits another record
Australia's stock market retreats from a record high, but CBA does it again with another record high close, Analysts unpack Amcor's Berry buy. Freight issue risks Nick Scali profit. EV volatility hits PWR Holdings profit margins.
ASX 200 at all-time high; CBA hits record
ASX 200 soars to record high on large scale buying before a late selloff. RBA 'vigilant' on inflation risks. Goyder to chair Perron Group. TechOne hits record after profit jump on a strong day for tech stocks. CBA, Xero, WiseTech also hit records. Elders dives after capital raise. Santos buoyant on higher returns promise