☕️ Tesla’s beat

Good morning.

Tesla posted better-than-expected 3Q earnings per share (72 US cents v. 60 US cents estimate), but the revenue line fell short, according to Bloomberg, coming in at US$25.18 billion. Still, Tesla shares shot up 7% in post-market trading, with investors excited by stronger margins and the second-highest quarter of regulatory credit revenue.

However, questions linger about Tesla’s growth story, with a need to sell a record 514,000 EVs in Q4 to break even. Expect major probing of CEO Elon Musk about AI and his robotaxi dreams at the conference call.

🏆 LOI Subscriber #TBD

Market movers

Mineral Resources shares continued their downward trajectory on Wednesday, falling 5% after the AFR reported ASIC was examining accusations that founder and CEO Chris Ellison had run an alleged tax evasion scheme involving offshore companies.

The quick sync

• The Australian Banking Association (ABA) and other bank lobbyists launched last-minute push to block open banking reforms weeks before the government passed the reforms. (Capital Brief)

• Morrow Sodali juggles dual roles in WiseTech saga, representing both embattled CEO Richard White and the board amid the ASX-listed tech firm's crisis. (Capital Brief)

• Former Home Affairs boss Mike Pezzullo questions Australia's ability to impose a Big Tech levy independently, doubts the effectiveness of TikTok bans. (Capital Brief)

• Leonardo.Ai powers Canva’s new Dream Lab feature, marking a fresh chapter for the AI startup just two months after its acquisition by the design giant. (Capital Brief)

• Bridgewater says Federal Reserve independence is top concern in US election. (Reuters)

• Deloitte cuts 250 UK employees in performance-related cull, marking the third round of job cuts in 13 months amid a slowdown in consulting demand. (FT)

Trading floor

M&A

• Ventia extended its $125m cleaning contract with NSW Public Works through 2025. (Capital Brief)

• Sev.en Global reviews Sanjeev Gupta’s European mills but is unlikely to provide financial assistance. (AFR)

• Scaleup Mediafund adds Naked Life Spirits and Settle Easy to its portfolio, with Naked Life exchanging shares for advertising. (BNA)

• Dexus aims to acquire North Queensland Airports Group after missing out on Gold Coast airport, but the $3bn price tag may deter potential buyers. (The Australian)

• Garda Property Group sold a $114m Brisbane industrial project to reduce risk, citing its size as unmanageable in the current market. (BNA)

• CRH is reportedly eyeing a potential acquisition of Buckeridge Group, despite regulatory concerns due to Adbri's strong market presence in Western Australia. (The Australian)

• BHP's CEO Mike Henry's visit to South Africa has renewed interest in acquiring Anglo American, despite government approval concerns and a standstill period following BHP's rejected $74bn offer. (The Australian)

Capital Markets

• Zenith Energy's owners are exploring equity investment opportunities, targeting core-plus infrastructure funds and private equity firms. (AFR)

• Savic Motorcycles seeks $12m in funding at a $30m valuation after shipping its first electric motorbikes, aiming for $150m in revenue by 2028. (AFR)

• Vaxxas is raising $100m to fund clinical trials of its needle-free vaccine patch, with JPMorgan and Wilsons Advisory leading the effort. (AFR)

• Tokyo Stock Exchange employee under investigation for insider trading, marking a blow to the exchange's governance efforts amid rising scrutiny in Japan’s financial markets. (Bloomberg)

• JPMorgan is in talks to resume trading physical LNG after Jamie Dimon hailed it as a US economic boon, exploring supply deals with Gulf Coast projects after a decade-long hiatus. (Reuters)

VC

• BuildPass raises $7.5m in seed funding from Carthona Capital and Saniel Ventures to support US expansion and AI product development. (AFR)

• Projectworks raised US$5m in Series A funding, valuing it at A$90m. (Startup Daily)

• Five digital health startups received $3.25m from the MRFF for further studies and scaling in areas like genomics, gut health, and clinical efficiencies. (Startup Daily)

People moves

• Domain CEO Jason Pellegrino will step down after six years, with the company in a strong financial position. (Capital Brief)

• Cathy Quinn was re-elected to Fletcher Building's board despite 22.7% opposition and attempts by 7.8% shareholder Schroders Investment Management to remove her. (The Australian)

The watercooler