☕️Archangels of ROI

Good morning.

Medical AI startup Heidi is allocating a slice of its recent USD65 million ($100 million) Series B round to Melbourne VC firm Archangel Ventures in a seldom seen “community round” that will offer eligible users of its platform the opportunity to invest.

Eligible users of Heidi’s AI-powered “medical scribe” will be able to buy into the company’s blockbuster USD65 million Series B, which closed earlier this month. Expressions of interest are closing on 7 November.

“It makes a whole lot of sense to let your supporters participate in the growth of the business,” Archangel’s managing partner Ben Armstrong told Capital Brief.

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Market movers

Shares in investment platform Hub24 surged Tuesday after the company posted $5.2 billion in net inflows for the September quarter, driving a 7.4% lift in funds under administration to $146.5 billion and moving up to sixth place by market share.

The quick sync

• Once written off after one of Australia’s most high-profile startup failures, Dany Milham is back at Koala, driving profit and gearing up for an ASX float. (Capital Brief)

• Macquarie likely to abandon its plan to remove asset managers with less than $300b under management from its super wrap platform. (Capital Brief)

• Damian Kassabgi’s stage left resignation sharpens the question at the heart of the Tech Council: Can any CEO lead under the weight of Farquhar’s influence? (Capital Brief)

• Jane Hume publicly rejects Sussan Ley’s push for Kevin Rudd to resign, highlighting more Coalition disunity. (Capital Brief)

• Oracle puts brakes on $250m tax fight with the ATO as appeal court clears path to resolve it under Ireland treaty instead of in Australian courts. (Capital Brief)

• Notion is developing AI agents to automate repetitive workplace tasks, with CEO Ivan Zhao likening the process to brewing beer. (Capital Brief)

Trading floor

M&A

• Pinnacle to buy $92m stake in Japan’s Advantage Partners to boost global private asset exposure. (Capital Brief)

• Adamantem finalises $160m takeover deal with Apiam. (AFR)

• Goldman Sachs begins early talks for $1b sale of over-50s lifestyle developer Lincoln Place. (The Australian)

• Oaktree may quit Perpetual wealth sale as mystery bidder emerges. (AFR)

• FalconX to buy 21shares amid growing crypto M&A and favorable US regulation. (Capital Brief)

• San Remo’s Crotti family buys 13% of Maggie Beer Holdings, joining Bickford’s as major investors. (AFR)

• Redrocks sells 10% Qualitas stake for $108.6m in Jarden-led trade. (The Australian)

• Goldman Sachs eyes El Jannah buyout with JPMorgan’s help. (AFR)

• NHL partners with Polymarket, Kalshi in first major league prediction market deal. (Capital Brief)

• Inghams quietly explores sale after share slump, with Mitsubishi and JBS seen as potential buyers. (The Australian)

• Capilano parent Hive and Wellness sale kicks off; bids due end of October. (AFR)

Capital Markets

• Tesla earnings miss despite record third-quarter sales surge. (Bloomberg)

• US Fed floats plan with much smaller capital hikes for big banks. (Bloomberg)

• Anthropic, Google in talks on multibillion-dollar cloud deal. (Bloomberg)

• Gold extends fall as investors book profits ahead of US inflation data. (Reuters)

• PrimaLend’s bankruptcy renews focus on subprime consumer strain. (Bloomberg)

• Air New Zealand expects up to NZD55m loss amid weak revenue and rising costs. (Capital Brief)

• Netflix shares fall 6% after earnings miss from Brazil tax charge despite record ad sales. (Capital Brief)

• WA brokers profit from gold boom, but sharp price drop sparks bubble fears. (The Australian)

• Atlas Arteria’s Q3 toll revenue rose 11%; Kara Lawrence named Dulles Greenway CEO. (Capital Brief)

• Google’s “Willow” chip runs quantum algorithm 13,000× faster than supercomputers, marking a major step toward real-world quantum uses. (AFR) (Bloomberg)

• Adairs cuts first-half outlook as sales slow and margins tighten. (Capital Brief)

• Woodside lifts production outlook, cuts costs on strong Sangomar and LNG performance. (Capital Brief)

• OpenAI enlists ex-bankers for secret AI project to automate financial modelling. (AFR)

• Cettire sales and customers fall amid US market headwinds. (Capital Brief)

• Oracle wins appeal to pause $250m ATO tax case under Ireland treaty. (Capital Brief)

• ActewAGL’s electrification service booms as households fight rising energy prices. (AFR)

• Gold miners tumble as gold prices retreat after record highs. (Capital Brief)

• Pengana cuts director fees amid strategic review and board overhaul. (Capital Brief)

• Tesla’s earnings keep falling despite its soaring stock price. (AFR)

• EnergyAustralia fined $1.2m for failing to help customers in financial hardship. (Capital Brief)

• ABC offers staff 3% annual pay rises and better leave benefits in new three-year deal. (Capital Brief)

• APA shareholders reject Market Forces’ climate reporting proposals with strong majority support for the board. (Capital Brief)

• Weight-loss drug boom drives Chemist Warehouse sales surge post-Sigma merger. (AFR)

• JP Morgan cancels Sydney race over extreme heat, no refunds due to event costs. (Capital Brief)

• Uber, Nebius invest up to USD375m to grow Avride’s robotaxi fleet and tech. (Capital Brief)

• KordaMentha accuses rival William Buck of making misleading assumptions that risk undermining the Whyalla steelworks sale process. (AFR)

• Beyond Meat whiplashes traders as stock falls after 1,300% jump. (Bloomberg)

VC 

• Archangel Ventures opens community investment round for Heidi’s USD65m Series B. (Capital Brief)

People moves

• Magellan appoints Peeyush Gupta as independent director. (Capital Brief)

• Tech Council CEO Damian Kassabgi resigns for family and work-life balance reasons. (Capital Brief)

• Dany Milham returns to lead Koala after Milkrun’s fall and personal loss. (Capital Brief)

• Meta to cut around 600 roles in Superintelligence Labs AI unit. (Reuters)

• Citigroup CEO Jane Fraser elected board chair, gets USD25m stock award. (Reuters)

• Sequoia COO quit over Shaun Maguire’s comments about Mamdani. (FT)

The watercooler