The degree to which the Australian Prudential Regulation Authority’s (APRA’s) legal action had weighed on the company’s share price has been revealed by the spike which has occurred since the Federal Court found against the regulator on Friday.
The Federal Court decision, handed down late Friday morning, has seen the IOOF share price rise from just below $5.50 per share to close at just under $6.75 a share at the close of trading yesterday.
However, the rise of the company’s share price is still slightly short of the more than $7 a share which preceded the announcement of the APRA legal action and is still well below the level which preceded the hearings of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.
The IOOF share price peaked at $11 peak in October, 2017.
The announcement of the APRA legal action saw the company’s share price plummet from just over $7 a share on 6 December, last year, to a low of $4.23 a few days later.