This Week's Shake-up
Dick Smith lives again
There is news this morning that Dick Smith Electronics (DSE) is set for another lifeline courtesy of Ruslan Kogan.
Kogan will be the fourth owner of DSE, and will acquire its intellectual property, its domains and customer database. The company’s bricks-and-mortar presence continues to be wound down.
Over the next 12 months the website will get a makeover and become part of the $300 million IPO currently being put together for Kogan’s ten-year-old company.
One of Australia’s biggest online success stories, Kogan started the business selling televisions from his parent’s garage. He now sells in over a dozen countries and accrues sales of over one million dollars per day.
UBS are believed to be managing the development of the IPO, which is expected to launch on the ASX in the second half of 2016.
The dollar bounces.
After last year’s predictions of the Aussie dollar settling around US$0.65c (which would have made the Reserve Bank of Australia very happy), trader would have been amazed to see the currency hit a nine-month high of 75.6c.
This morning, Ray Attrill, who leads National Australia Bank’s Global FX Strategy Team, predicted that the Aussie could rise another five cents by mid-year, and cited reduced market volatility as the key reason for the rally.
The first test of this prediction will be the meeting of the US Federal Reserve and their decision on lifting the cash rate. Leaving interest rates where they are at 0.5% will push the Australian Dollar up toward the top end of Attrill’s range.
Not that the NAB thinks we can rely on a rate close to 80c forever. They still see a drop to around 65c by the end of the year. You can read more here.
Is this the new iPhone?
Let the rumour mill commence! With still six months until the launch of the next iPhone, here is the first photo of what new model might look like. If the protruding camera has indeed been eliminated, we’ll queue up now.