APT has released summary details of the independent auditor report into its AML/CTF compliance. While APT failed to comply correctly with AML/CTF legislation in its infancy, the majority of the report recommendations have already been addressed with APT’s transaction monitoring now labelled “effective, efficient and intelligent.” While an AUSTRAC fine remains a possibility, we continue to see the quantum of any potential fine as relatively immaterial versus APT’s market cap ($8bn). Maintain ADD recommendation, PT increased to A$35.82. APT’s initial progress in the US/UK markets remains encouraging and we believe share price upside exists if management’s offshore strategy is successfully executed.
APT Price at posting:
$31.95 Sentiment: Buy Disclosure: Held
