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Macquarie preparing to expand resource lending

DESPITE posting a 52% drop in annual net profit and media speculation it intends to raise over $A...

Blair Price
Macquarie preparing to expand resource lending

In a presentation to investors and analysts, Australia’s largest investment bank revealed its corporate advisory and financing arm, Macquarie Capital, planned to grow market share in its corporate and asset financing business over the medium term – past 2009 – as competitors cut back or exited the field.

Looking at its activity for the 12 months ending March 31, Macquarie said it had been exploring coal financing opportunities and new financing opportunities across both metals and energy, including distressed assets.

Macquarie recently raised $540 million through institutional investors and announced its share purchase plan this morning to issue more ordinary shares at the price of $26.60.

For the year ending March 31, Macquarie had net profit of $871 million, well below the bumper $1.8 billion achieved in the previous year.

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