☕️ Aviation dance

Good morning.

Qatar Airways is swooping in to acquire a tantalising 20% stake in Virgin Australia in a deal that could send ripples through the aviation industry and threaten Qantas’ throne, according to the AFR.

The paper is reporting that Bain Capital, fresh from shelved plans for an ASX listing of Virgin, is now entertaining Qatar’s advances while wistfully glancing at Singapore Airlines, with whom advisors considered a pairing that never materialised.

But let's not forget the political muddle. Qatar’s last dance with the Albanese government ended in rejection, with Labor feeling the need to protect aviation jobs and Qantas’ ROI, while reportedly quadrupling flight agreements with airlines in Turkey and Sri Lanka that can’t fill their quotas.

Looks like Qatar is ready to tango, but will Canberra join in?

🏆 LOI Subscriber #TBD

Market movers

Inflation jitters sent shockwaves through consumer and discretionary stocks after the CPI spiked to 4% in May.

The stronger-than-expected reading led economists at CBA, Deutsche Bank, UBS and Morgan Stanley to predict the RBA could hike rates in August.

Interest rate-sensitive real estate stocks also tumbled, but no one fared worse than Harvey Norman. The retailer plunged over 8% as analysts slashed valuations amidst weaker macro conditions.

The quick sync

• Nvidia is the biggest winner from the AI boom. Are Qualcomm and TSMC next? (Capital Brief) 

• Cettire CFO Tim Hume is one of the biggest casualties from the luxury retail platform’s share price slump, saddled with a $4.2m tax bill for worthless stock options. (AFR)

• Globalisation is fracturing. That's a big problem for net zero, experts say. (Capital Brief)

• Salesforce slammed over lavish gifts, meals with NDIA (AFR)

• How AI is helping reinvent the art of the startup pitch. (Capital Brief)

Trading floor

M&A

• Medibank Private and Macquarie Group are exploring acquisitions in the primary healthcare sector following their earlier collaboration in healthcare acquisitions. (The Australian)

• City Tattersalls Club plans to sell its Pitt Street property to developers as it faces financial struggles during the site's redevelopment into a luxury tower. (AFR)

• Buyers are gearing up to submit initial bids for Loscam, a logistics firm valued at over $3bn, next month. (The Australian)

• Synechron expands in Australia with acquisitions of Chamonix IT Management Consulting and Exposé Data in Adelaide. (BNA)

• Ampol, valued at over $7bn, is exploring acquisitions in the food franchise sector to enhance its retail capabilities, amid competition from Viva Energy's recent expansion. (The Australian)

• Gadens Brisbane divides, forming Green Mortgage Lawyers for its retail banking arm. (BNA)

• Anglo American has chosen Morgan Stanley to handle the sale of its $US5 billion Australian coking coal mines. (The Australian)

Capital Markets

• Playground Global, after securing $1bn for PsiQuantum, is fundraising for a new mega fund, meeting potential investors in Australia. (AFR)

• Bannerman Energy halted trading of its shares for a planned capital raising, expected to resume by Friday's market open. (Capital Brief)

• Valory Resources seeks to raise $20m via a convertible note ahead of its IPO later this year. (AFR)

VC

• Klean raised $725,000 in a pre-Seed round led by Prtnr Ventures. (Startup Daily)

People moves

• Goldman Sachs has appointed Mark Davis as Head of Australian and New Zealand Equities, following recent departures from its ranks. (The Australian)

• Star Entertainment Group named Steve McCann, former CEO of Crown Resorts, as its new CEO and managing director, starting July 8 pending regulatory approval. (Capital Brief)

• Deutsche Bank hires Laura Fitzsimmons from JPMorgan as head of macro sales in Australia. (AFR)

• Advent International hires Anchorage Capital's Beau Dixon to lead its expansion in Australia and New Zealand. (AFR)

• The Tech Council of Australia appointed WiseTech CEO Richard White and PEXA Group CTO Eglantine Etiemble to its board. (Capital Brief)

The watercooler