Covid-19 News Updates

Atomo rapid COVID-19 test approved by TGA

Atomo Diagnostics (ASX: AT1) expects to soon start selling its rapid COVID-19 antibody blood test in Australia following the Therapeutic Goods Administration's (TGA) approval for its use by medical professionals.

The AtomoRapid COVID-19 (IgG/IgM) test is jointly manufactured by Atomo and its French partner NG Biotech, which makes the test strip while the Australian company produces the testing device itself.

The breakthrough means Sydney-based Atomo will soon have its second Australian Register of Therapeutic Goods (ARTG) listing, alongside the Atomo HIV Self-Test.

AT1 shares were up 13.24 per cent at $0.385 each at 2:08pm AEST.

Today's announcement is the result of an expanded partnership with NG Biotech giving Atomo an exclusive market in several countries.

On 4 June, the company secured the exclusive rights as the listed manufacturer to market and distribute the COVID-19 antibody test in Australia, New Zealand, Singapore, Malaysia, Indonesia, Taiwan, Hong Kong, Thailand, Vietnam, Myanmar and the Philippines.

Until that date, NG Biotech had already ordered more than 1.5 million of Atomo's Galileo devices for use in its COVID-19 antibody test in France.

Atomo's global expansion continued in late July after signing a binding agreement with US-based diagnostics specialist Access Bio Inc (KOSDAQ: 950130) to supply its devices for the North American market, with co-branding from both companies.

Under the agreement, Access Bio is obliged to sell a minimum of two million products by 30 September 2021.

Regulatory approval in Australia may represent a relatively small achievement in comparison, although testing rates per capita are relatively high here (20th in the world).

Atomo also plans to submit its product for assessment to the  Doherty Institute, which has been engaged by the Department of Health to assist with the post-market validation of new COVID-19 rapid tests, upon listing on the ARTG. 

Other ASX-listed companies in the space include Brisbane-based AnteoTech (ASX: ADO) and Sydney-based Cellmid (ASX: CDY).

"Thanks to the TGA approval and the work of our dedicated team, we can now deliver what is in our view, a high-quality, reliable antibody rapid test to Australia," says Atomo Diagnostics co-founder and managing director John Kelly.

"Atomo already sells Australia's only approved HIV Self-Test and we know that our solution simplifies rapid bloodbased testing in point-of-care settings.

"We are excited that our test can now be used in our home market, Australia, to assist in the fight against the COVID-19 pandemic."

Kelly highlights two French studies of Atomo's Galileo device for testing COVID-19 had specificity rates, meaning how well the test correctly identifies a negative result, of 100 per cent.

For sensitivity, meaning the ability of the test to correctly identify positive cases, the rates were around 97 per cent.

In a report to Federal Health Minister Greg Hunt, Australia's Chief Scientist Dr Alan Finkel referenced Atomo in his discussion of the specificity of available COVID-19 tests.

"For as long as the prevalence of COVID-19 is low in Australia and available serological tests are not approaching 100 per cent specificity, serological testing to measure the prevalence of COVID-19 will not be meaningful," Dr Finkel said in the report.

"As noted earlier, the Atomo rapid test meets this requirement having demonstrated 100% specificity in both studies in France."

Kelly concludes TGA approval will accelerate negotiations for use of the test across a number of channels in Australia.

"In our view, the performance data for the test generated from independent French studies and the proven ease-of-use of the Atomo device in the field, make our test well suited for deployment in a large country like Australia, with a variety of point of care settings," he says.

Updated at 2:18pm AEST on 10 August 2020.

Qantas share purchase plan falls short by $428m

Melbourne lockdowns and further flight restrictions have put a drag force on Qantas Airways' (ASX: QAN) planned $500 million share purchase plan (SPP), which came up 86 per cent short while shares traded below the original offer price.

The iconic company announced a $1.9 billion capital raising on 25 June to help fund its COVID-19 recovery plan, comprising a roughly $1.4 billion fully underwritten institutional placement and the balance to come from the SPP capped at $500 million.

Of that SPP cap sum Qantas has only managed to raise $71.7 million, with the new shares on issue purchased by 8,660 eligible shareholders.

In mid-July the SPP closing date was extended by an extra fortnight, but in the end it meant little as a second wave in Victoria would soon rear its head and the national trend of eased restrictions started to move in the opposite direction.

"As distinct from the underwritten Placement, the timing of the SPP coincided with a series of tightened border restrictions across Australian states and territories, sparked by a COVID-19 outbreak in Melbourne and small clusters elsewhere," the company said today.

"While the Qantas Group's recovery plan anticipates some uncertainty associated with the pandemic, the timing of these events and their implications for travel demand had an obvious impact on the Qantas share price and the take-up of the SPP offer by eligible shareholders.

"Qantas confirms that all valid applications by eligible shareholders were accepted in full for the amount validly applied for. Qantas expects to issue approximately 22.5 million new fully paid ordinary shares.

When the equity raising was announced Qantas was offering $3.65 per share, representing a 12.9 per cent discount to the previous trading price. But the extension of the SPP included the option of the volume-weighted average price of shares over a five-day period, minus a 2.5 per cent discount.

As a result, the new shares will be issued at $3.18 per share on 12 August, and are expected to start trading on the ASX the following day.

QAN shares were up slightly by 0.75 per cent to $3.345 each at 10:21am AEST.

Updated at 10:22am AEST on 10 August 2020.

Doorknocking no-show numbers drop in Melbourne as lockdowns take effect

Following the Australian Defence Force's largest single day effort of doorknocking, Premier Daniel Andrews has confirmed the numbers of no-shows at homes in Victoria are improving.

Of the 1,150 home visits to people meant to be isolating conducted yesterday by the ADF and Health Department officials, 1,000 people were home.

This is an improvement to the previous rate of just one in four people being home, and comes as Stage 4 restrictions were imposed in Melbourne this week.

Cumulatively 500 people have been referred to Victorian police for breaches of home quarantine orders since the ADF doorknocking program commenced.

"I'm very grateful to those Victorians who are doing the right thing and are where they should be," says Andrews.

"I know [isolation] is very challenging and that's why visiting is important, not just for compliance but for the purposes of information and clarity and providing support to anybody who might need it."

Victoria recorded 450 new confirmed infections of COVID-19 today, bringing the total number of active cases in the state to 7,636.

There were 11 new deaths overnight, with seven of those connected to aged care settings.

Of the 450 new cases there were 66 that are classified as 'mystery cases', meaning health officials cannot trace the infection back to a known source.

Updated at 12:49pm AEST on 7 August 2020.

JobKeeper eligibility expanded with $15.6 billion added to the pool

Federal Treasurer Josh Frydenberg (pictured) has announced changes to the JobKeeper program in response to Stage 4 lockdowns in Victoria, making it easier for companies to access the stimulus.

The changes will see an extra $15.6 billion added to the pool of funds available to struggling Australian businesses, bringing the total cost of the program to $101 billion.

Of the extra $15.6 billion Frydenberg says around $13 billion will go toward businesses in Victoria, with an estimated 500,000 employees in the state to go onto JobKeeper in the September quarter.

Two important changes have also been made to eligibility requirements, namely the business turnover test and the employee eligibility test.

Previously, business turnover needed to be down in both the June and September quarters to be eligible for JobKeeper in the December quarter.

Now, businesses only need to be down by the requisite amount in the September quarter to be eligible for payments in the December quarter.

"This takes into account that some businesses through May, through June, through April, did OK," Frydenberg said.

"But obviously with the Stage 4 restrictions particularly in Victoria through the months of July and August and September it's going to be very difficult. And these businesses will now be eligible for payment."

The other change means employees who were on the books as of 1 July are now eligible to receive the payment.

Previously employees had to have been on the books from 1 March to receive JobKeeper.

"Some businesses, as they were opening up and progress was made on the health front, they took on new employees," Frydenberg said.

"Those employees will now be eligible for JobKeeper, which will again provide additional relief to businesses."

The amounts available to employees under the program have not changed.

From October, businesses that continue to meet the revenue reduction requirements will be entitled to $1,200, followed by a reduction to $1,000 starting in 2021.

For employees who worked less than 20 hours per week, their supports will drop to $750 per fortnight as of October and $650 from the start of next year.

Read more: JobKeeper 2.0 details revealed, extended by six months

Just yesterday the Prime Minister revealed the cost of Victorian lockdowns could shrink real GDP in Australia by up to $12 billion.

Approximately 80 per cent of the economic cost is expected to be in the affected areas of Victoria, representing an approximately $6-7 billion hit.

The national unemployment rate is now expected to peak at 10 per cent, up from a previously forecast high of 9.25 per cent.

However, when looking at the effective unemployment rate, which includes those who are employed but not working any hours, Morrison says that could now reach 13 per cent.

Business Council chief executive Jennifer Westacott has today welcomed Frydenberg's announcement, saying it will boost confidence in Australia.

"These sensible changes to JobKeeper will make it easier for businesses to retain workers and will boost much needed confidence in the community," says Westacott.

"The changes to the eligibility test reflect the upheaval and uncertainty in the jobs market, and the changes to the turnover test reflect that businesses are struggling.

"People are worried about the future and we endorse the government's actions in targeting taxpayers' money to saving jobs and creating new ones. Crucially these changes target money to the jobs and people most at risk."

Updated at 10:13am AEST on 7 August 2020.

Ardent Leisure to reopen Dreamworld and WhiteWater World

Ardent Leisure (ASX: ALG) has announced plans to reopen Dreamworld and WhiteWater World on the Gold Coast in mid-September, just in time for the school holidays.

The reopening date is expected to be confirmed over the next week, but in any case it comes months after competitor Village Roadshow (ASX: VRL) - currently in the midst of a buyout from BGH Capital - reopened its Gold Coast theme parks.

Ardent says its staged reopening has been made possible by the Queensland Government's COVID-19 Industry Support Package and Queensland Tourism Icons Program 2020, through which financial assistance has now been received.

Ardent's SkyPoint Observation Deck and Climb located in Surfers Paradise reopened on Friday, 10 July 2020

"We appreciate the Queensland Government's strong recognition of the important role that the theme park industry plays in the economic development of Queensland and the broader tourism industry in Australia," Ardent Leisure chairman Dr Gary Weiss and theme parks chief executive officer John Osborne said in a joint statement.

"The Queensland Government's foresight in providing this financial assistance package will enable Ardent to re-open its iconic theme parks, continue to employ hundreds of people and continue to invest in future tourism infrastructure and create more local jobs.

"We are very excited about welcoming back our valued team members and loyal guests and have already commenced preparations for the re-opening of our parks, including the implementation of our Queensland Health approved COVID SAFE Plan," added Osborne.

The announcement is the first good news in a while for Ardent, which late last month pleaded guilty over three charges relating to the 2016 Thunder River Rapids Ride tragedy.

Other theme parks on the Gold Coast including Warner Bros. Movie World, Sea World and Wet'n'Wild have reopened at 50 per cent, and their parent company Village Roadshow yesterday entered an implementation agreement for a takeover from a group connected to BGH.

BGH is aiming to acquire control of VRL by way of two alternative but concurrent schemes of arrangement representing total value of up to $2.45 per share, which is 16.7 per cent higher than yesterday's closing price.

Th full value of the takeover would only be achieved if VRL keeps its theme parks open, reopens cinemas and Queensland borders reopen for any person from New South Wales (from 15 October) and Victoria (31 October).

Updated at 9:46am AEST on 7 August 2020.

70 to isolate in SA medi-hotels as state's Thebarton cluster grows

A new confirmed case of COVID-19 linked to a growing South Australian cluster has forced 70 close contacts into a medi-hotel for quarantine, while 1,100 casual contacts are required to isolate for just over a week.

The new case has also forced adult education facility Thebarton Senior College to close as the cluster associated with the school grows to five.

The 70 close contacts will be moved into medi-hotels that have traditionally been used for returning international travellers.

Despite the harsh measures imposed on these individuals, with eight active cases currently in South Australia the state's chief public health officer Nicola Spurrier has advised the public not to panic.

"We have not got community transmission in South Australia in any way in a widespread form and this is why we're being absolutely over-cautious in this instance," she said.

"There are a large number of close contacts and this is because the Thebarton Senior College is a college for adult learners."

This growing cluster, dubbed by health authorities as the Thebarton Cluster, was linked to a 20-year-old returning essential worker who was self-isolating at the Walkers Arms Hotel.

He then passed the virus on to a cleaner and another woman in her 20s which has sparked this outbreak.

A new drive-through COVID-19 testing location has opened in Aldinga at the GP Plus Health Care Centre.

Updated at 9:09am AEST on 7 August 2020.

Newcastle health alerts expanded to include Sushi Revolution and Bar 88

Update: Since publication NSW Health has reported 11 new cases of COVID-19

A sushi restaurant and a bar in Newcastle have been added to a list of venues attended by two confirmed cases of COVID-19 in the city.

Hunter New England Health (HNEH) has urged anyone who attended Bar 88 on Sunday 2 August from 5pm to 7.15pm and Sushi Revolution on Saturday 1 August from midday to 12.45pm to self-isolate and get tested.

The public health alerts follow the confirmation that a male teenager transmitted COVID-19 to a man in his 20s sparking fears of community transmission in Newcastle.

HNEH is now urging anyone who attended the following venues at the specified times to self-isolate immediately and seek testing:

• Bennett Hotel, Hamilton Friday 31 July, from 5.30pm to 10.00pm
• Bar 88, Wests New Lambton Sunday 2 August, from 5.00pm to 7.15pm
• Sydney Junction Hotel, Hamilton Saturday 1 August, from 11pm midnight to 1.15am Sunday 2 August
• Greenroof Bar and Restaurant, Hamilton Friday 31 July, from 10.30pm to 12.15 midnight
• Sushi Revolution, Hamilton on Saturday 1 August, from 12noon to 12.45pm
• Queens Wharf Hotel Saturday 1 August from 9.30pm to 11.00pm
• McDonald Jones Stadium Sunday 2 August, 7:30pm to end of game, Newcastle Jets match

HNEH is still working to identify any further close contacts and venues visited by the pair of confirmed cases. Further updates will be provided as more information becomes available.

The health authority will notify any close contacts who will then be required to isolate for two weeks.

NSW Health announced 11 new cases of COVID-19 today, bringing the state's cumulative total to 3,653.

Of the new cases, one is still under investigation, and one was acquired in Victoria and is in self-isolation.

The other nine were locally acquired, with one linked to The Apollo restaurant cluster and eight close contacts of known cases.

11 new cases of #COVID19 have been diagnosed in NSW between 8pm on 5 August and 8pm on 6 August.

For the latest list of COVID-19 locations, visit: https://t.co/pqkRdfh3cRpic.twitter.com/Y6hsoOhFiZ

NSW Health (@NSWHealth) August 7, 2020

Updated at 9:38am AEST on 7 August 2020.

A "heavy blow": Victorian lockdowns could cost economy $12b

The imposition of Stage 4 restrictions in Melbourne may shrink real GDP by $7 to $9 billion and push effective unemployment up to 13 per cent, according to Prime Minister Scott Morrison.

Combined with the impact of earlier Stage 3 restrictions in Melbourne, Morrison says the total hit to GDP will be in the range of $10 to $12 billion.

Fronting the press this morning, Morrison says these estimates are a "heavy blow" for Australia.

"That is very concerning, that is very troubling, but it is not unexpected," Morrison said.

"In the circumstances these measures will have a very significant cost, and it will impact the recovery path, but the task doesn't change. We get on top of this issue in Victoria and we band together and we make this work."

Approximately 80 per cent of the economic cost is expected to be in the affected areas of Victoria, representing an approximately $6 to $7 billion hit.

The remainder represents a preliminary estimate of the broader impact of confidence in other states and supply chain impacts from the shutdown of industries in Victoria.

The national unemployment rate is now expected to peak at 10 per cent, up from a previously forecast high of 9.25 per cent.

However, when looking at the effective unemployment rate, which includes those who are employed but not working any hours, Morrison says that could now reach 13 per cent.

The news comes as many businesses in Melbourne have been forced to close overnight in line with Stage 4 restrictions.

Only a small handful of 'essential services' are still operating, including grocery stores, pharmacies, and petrol stations.

Manufacturing, food processing, and supply chain facilities have also been slowed down, and the construction industry must work with skeleton crews to keep the flame of a pilot light glowing until restrictions can be eased.

Morrison said we needed to "work together across the country, to do the things we need to do, to boost that demand, to encourage that investment, and to rebuild our economy and to go forward."

"I know this news is upsetting and disappointing, but as Australians we have to keep our heads up. Let's keep our heads up together, let's look out for each other, and let's get through this."

471 new COVID-19 cases in Victoria as Stage 4 causes headaches for Premier

Businesses in Melbourne have woken up to a new six-week reality with most retailers closed and only essential services able to continue operating, as the state records 471 new COVID-19 cases and eight new deaths.

This new level of restriction has resulted in businesses like meatworks and other food processors struggling to figure out how to operate under the new rules, but Premier Daniel Andrews says imposing the rules was "always an imperfect process".

As such, the Premier has announced some specific rules for certain industries today to enable them to continue to operate under Stage 4 in a COVID safe manner.

Beacuse it is a high risk sector, abbatoirs and meat processors will go down to 66 per cent of operations. Any abbatoir with less than 25 staff will not need to make any reductions at all to the workforce.

For poultry facilities, production will need to be reduced by 20 per cent. Andrews says this is because if they are forced to go down to 66 per cent there will be many hundreds of thousands of animals that would be destroyed but not processed.

Finally, for seafood producers with less than 40 staff, no reductions will need to take place.

"All of these measures are about driving down the number of workers to the lowest number we can practically get to, whilst at the same time not delivering critical shortages of products," says Andrews.

"Therefore there are balanced points to be found and we're confident that we have been able to do that."

Updated at 12:11pm AEST on 6 August 2020.

Health alerts issued in Newcastle as region records two new COVID-19 cases

Two new confirmed cases of COVID-19 have put Hunter New England Health (HNEH) on high alert for community transmission in the Newcastle region, with the body issuing a number of health alerts today.

Pubs, venues and last Sunday's Newcastle Jets match at McDonald Jones Stadium are on the list of locations visited by the COVID-19 cases.

The two new cases are a male teenager and a man in his 20s. The source of infection for the teenager is unknown and still under investigation, but the man in his 20s is a close contact of the teenager.

The two cases bring the total number of new COVID-19 infections in NSW at 8pm on 5 August to 12, with none of the new cases connected to hotel quarantine.

HNEH is urging anyone who attended the following venues at the specified times to immediately self-isolate and seek testing:

• Bennett Hotel, Hamilton Friday 31 July, from 5.30pm to 10.00pm
• Greenroof Bar and Restaurant, Hamilton Friday 31 July, from 10.00pm to 12 midnight
• The Hopsmith Sports Bar, Wests New Lambton Sunday 2 August, from 5.00pm to 7.30pm.
• Queens Wharf Hotel Saturday 1 August from 9.30pm to 11.00 pm
• Sydney Junction Hotel, Hamilton Saturday 1 August, from 12 midnight to 1.30am Sunday 2 August
• McDonald Jones Stadium Sunday 2 August, 7:30pm to end of game, Newcastle Jets match

The infected teenager is a student at St Pius X High School (Adamstown) and attended school on Monday 3 August.

The school has been closed to allow for contact tracing to occur and for thorough cleaning.

The teenager caught the Number 26 school bus (Hamilton to Adamstown) to school on Monday 3 August, at 8.20am. All people on the bus at this time will be required to isolate for 14 days and seek testing.

He is also a team member of the Newcastle Jets under 15's representative squad who played a soccer match against the Stanmore Hawks at Arlington Oval in Dulwich Hill on 1 August. His team mates and the members of the opposing team are considered close contacts and will be required to isolate for 14 days.

With the identification of additional cases in the Newcastle area, the region is expecting an increase in the demand for testing.

"To ensure we can best serve the community during this time, we have enhanced our local testing capability," says public health controller for HNEH's COVID-19 response Dr Kat Taylor.

"In addition to expanding our call centre capacity and the number of phone lines available to improve booking wait times, we will extend hours and capacity at a number of local clinics.

"However, please be patient if visiting a clinic or calling for a booking. We have thousands of testing opportunities throughout the course of today and will see people as quickly as possible," Dr Taylor said.

Updated at 11:09am AEST on 6 August 2020.

Scentre Group board salaries return to normal despite trying times for retail

After reports it has been driving a hard bargain with tenants and expectations net operating cash flows will fall by 60 per cent in the second half, the board of shopping mall giant Scentre Group (ASX: SCG) will now be paid at pre-COVID levels.

Like many leadership teams in Australia, the senior management and board of the Westfield operator took cuts of 20 per cent to their base salaries and fees respectively as of 1 May, but that has now been limited to a three-month period.

"In April 2020 the Group announced that, in light of the COVID-19 pandemic, temporary arrangements to reduce base Board Fees and fixed remuneration for the executive team (including the Senior Leadership team)," Scentre Group stated today.

"These arrangements commenced from 1 May 2020 and, as announced, would be reviewed by the Board in August 2020.

"The Board has reviewed these arrangements and has determined the Board and fixed remuneration for the executive team will revert to their previous levels, effective from 1 August 2020."

Ahead of its expected second half results announcement on 25 August, Scentre Group has today announced expectations the carrying value of its property portfolio will be down approximately 10 per cent due to impacts from COVID-19.

The group also expects net operating cashflow after interest, overheads and tax will be more than $250 million for the half year, compared to $629.1 million for the same period in 2019.

Scentre Group also clarified it had not received any funds from the Australian Government under the JobKeeper scheme, and its available liquidity stood at $4.4 billion as at 30 June.

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