Qube (ASX:QUB) share price jumps as Woolworths logistics park gets backing

The Qube Holdings Ltd (ASX: QUB) share price has climbed in early trade after announcing a key agreement to unlock value from its major asset.
The post Qube (ASX:QUB) share price jumps as Woolworths logistics park gets backing appeared first on Motley Fool Australia. –

Goldfish leaps from small fishbowl to larger bowl

The Qube Holdings Ltd (ASX: QUB) share price has jumped 1.95% higher in early trade after providing an update on its Moorebank Logistics Park (MLP).

What is the Moorebank Logistics Park?

The Moorebank Logistics Park or ‘MLP’ is a 243-hectare development in South Western Sydney. Once complete, the development is Australia’s largest freight infrastructure project spearheaded by Qube.

Qube is partnering with Woolworths Group Ltd (ASX: WOW) on two new state-of-the-art facilities in the MPL. Woolworths is set to become a major tenant at the site in a deal worth $1 billion as the conglomerate pushes towards more automation.

Why is the Qube share price moving today?

The Qube share price has climbed higher in early trade following its latest update on monetising the MLP.

This follows an earlier announcement from Qube around unlocking some value from the high-quality assets. The MLP monetisation has now progressed into a period of exclusivity with Asia-Pacific logistics specialist, LOGOS Property Group.

The transaction is currently a non-binding indicative proposal from LOGOS, which has A$13.8 billion in assets under management.

Qube and LOGOS have now commenced “significant work” needed to agree and document the level of ownership and assets subject to monetisation.

Qube has said it will only proceed if it is able to realise appropriate value from its MLP investment in support of its strategic objectives and growth of the high-quality asset.

That has been enough for shareholders to buy the logistics share as the Qube share price has climbed nearly 2% higher this morning.

How have Qube shares performed this year?

The Qube share price closed at $2.56 per share yesterday, down 21.2% in 2020. That means the ASX logistics share has underperformed the S&P/ASX 200 Index (ASX: XJO) this year.

That’s despite a boom in online retail and growing demand for warehousing and logistics services. Logistics have been disrupted by the border closures and trade disputes triggered by the coronavirus pandemic. 

Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

Find out the names of our 3 Post COVID Stocks – For FREE!

*Returns as of 6/8/2020

More reading

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Woolworths Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Qube (ASX:QUB) share price jumps as Woolworths logistics park gets backing appeared first on Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!