Takeover talks should see MXG continue to rise...

Takeover talks should see MXG continue to rise strongly.....

http://www.smh.com.au/news/Xchange/Mort-in-familiar-STW-territory/2005/06/15/1118645867343.html?oneclick=true

Multiplex chance

Given the consolidation in the listed property trust sector in the past year, and some of the unlikely match-ups which eventuated, speculation that Lend Lease could be looking at rival Multiplex does not seem as far fetched as it may have.

Advertisement
AdvertisementWhile investors in the sector are getting fed up with mergers and acquisitions, there is no doubt that now General Property Trust has joined with Babcock& Brown, Lend Lease is free to pursue other opportunities. Its head builder, Greg Clarke, reckons Bovis Lend Lease will carry his group forward, but given domestic construction is shrinking, bulking up with another company is an alternative.

Of course Multiplex's problems at Wembley, UK, are not a drawcard - Lend Lease pulled out of that joint venture with Multiplex a year ago - but some analysts are muttering, never say never. All Aussie construction groups now view the UK as offering the best growth and to move in and take over a rival is a proven growth strategy.