KEY POINTS:
Macquarie Bank, Australia's largest securities firm, says first-half profit has climbed 51 per cent to a record, led by income from buyouts and higher fees from arranging takeovers and managing investment funds.
Net income rose to A$730 million ($845 million) in the six months to September 30, from A$482 million, the Sydney-based bank said yesterday.
Shares in Macquarie rose 81c yesterday to close at A$75.39.
CEO Allan Moss boosted the bank's international income 38 per cent in the half, and last month agreed to buy RWE's Thames Water unit in his biggest purchase.
Global buyouts more than doubled this year, accounting for 19 per cent of a record A$3 trillion of takeovers.
"The growth in international revenue is the big story," said fund manager Jack Chemello of BT Financial Group in Sydney. "The pipeline of deals looks very good."
Macquarie, the world's largest private manager of infrastructure, bundles assets into funds it oversees for investors and manages for a fee, including the Indiana Toll Road and the Chicago Skyway in the US.
The bank raised A$7.2 billion for its investment funds in the period, more than half for closely held vehicles in Europe and Asia.
"It's obviously been a strong period for raising money for unlisted funds," said Steve Marsh of Australia's Trust Co. "The result looks a bit better than what people were looking for."
The bank ranks second for merger and acquisition advice in Australia and New Zealand this year, working on 64 transactions valued at US$49.6 billion ($75 billion). Goldman Sachs JBWere is No 1 with US$57.6 billion.
Macquarie bank
* Australia's largest investment bank
* First-half profits rose 51 per cent to A$730 million.
* The bank raised A$7.2 billion for its investment funds during the period.
- BLOOMBERG
