☕️Credit Appetite

Good morning.

Taking the lead from nimble organisations, large Aussie corporates are increasingly knocking on private credit’s door as they search for more flexible funding alternatives. A new research partnership between East & Partners and Capital Brief has found an over 40% increase in interest in the private credit asset class across the Top 100 Australian companies ranked by revenue.

39% of corporates with turnover greater than $725 million have either tapped into private credit recently (15%) or plan to soon (24%), a big leap from just 28% back in October 2024.

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Market movers

Neuren Pharmaceuticals shares were sold off Monday as Trump’s pledge to slash US drug prices sparked a broad sell-off in ASX pharma stocks with American exposure.

The quick sync

• Jonathan Tanner writes agentic AI could transform banking, but most Australian banks are unprepared, held back by outdated systems, weak governance and a lack of strategic alignment. (Capital Brief)

• Blinq CEO Jarrod Webb on reinventing the business card, the power of first impressions and what’s next after Australia’s biggest Series A of 2025. (Capital Brief)

• News Corp reshapes executive ranks as veteran Campbell Reid steps back, signalling a new chapter in corporate and government affairs leadership. (Capital Brief)

• John Hempton says his short book is “pregnant with profits”—but only if markets start caring about the real economy. (AFR)

Trading floor

M&A

• Dyno Nobel sells fertiliser arm to Ridley for $375m, returns to profit. (Capital Brief)

• Blackstone has hired Lazard to sell CMAX Clinical Research, with bids expected from Genesis Capital and NZCR. (AFR)

• PointsBet receives superior acquisition bid from Betr, starts due diligence. (Capital Brief)

• Helloworld Travel now holds a 5% stake in Webjet Group, buying nearly 19.7m shares between April 10 and May 9. (The Australian)

• St Vincent’s Health has hired Barrenjoey to explore a bid for Healthscope, indicating it may move to acquire the $1.6b hospital group. (AFR)

• Stripe’s Australian head denied reports of interest in acquiring Tyro, despite growing speculation as Tyro’s share price drops. (Smart Company)

• ABB is weighing a US$3.5b sale of its robotics unit, potentially scrapping its 2026 spinoff plan in a strategic shift under new CEO Morten Wierod. (Bloomberg)

Capital Markets

• Nine wins Rugby World Cup rights in major sports push. (Capital Brief) (AFR)

• Nine CEO downplays Premier League bid after securing Rugby World Cup rights. (Capital Brief)

• Tellus Holdings is seeking new debt funding for its toxic waste sites, with amicaa well-placed to lead the refinancing deal. (AFR)

• FleetPartners profit drops, but demand steady and cost savings ahead. (Capital Brief)

• Norway fund may divest Rio Tinto, South32 over Amazon mine concerns. (Capital Brief)

• Vanguard is growing its superannuation business five times faster than competitors and plans to reduce fees further, aiming to simplify Australia's complex retirement savings system. (AFR)

• PEXA lifts Q3 volumes, keeps guidance but warns of possible risks. (Capital Brief)

• IPartners has invested in York Street Brands, which raised $2m to launch a new brand and expand internationally, starting with the UK market. (AFR)

• HESTA divests from MinRes over governance and leadership concerns. (Capital Brief)

• Coronado Global Resources is seeking refinancing after breaching its debt covenants due to falling coal prices and challenging market conditions. (The Australian)

• Apple may hike iPhone prices this autumn but won’t blame tariffs, despite trade war costs and supply chain challenges. (Capital Brief)

• Woolworths will cut prices by 10% on 400 products, mainly home brands, in a bid to recover market share from Coles. (AFR)

• EV battery giant CATL is launching a US$4b IPO in Hong Kong on 20 May. (Capital Brief)

• Heidi Health has become the fastest-growing company in Blackbird Ventures' portfolio, surpassing Canva and Leonardo AI, with $15 million in annual recurring revenue after just one year. (AFR)

• AI startup Perplexity’s valuation surges to US$14 billion. (WSJ)

VC

• Bovotica, a Brisbane start-up, raised $3.4m to develop probiotics for cattle that boost weight gain and cut methane emissions. (AFR)

People moves

• IDP Education has named Tracey Horton as its new chair, succeeding long-time chair Peter Polson. (Capital Brief)

• Goldman Sachs Asset Management’s real estate head Juan Manas has resigned amid fierce competition for senior finance talent. (AFR)

• Telstra has appointed Microsoft executive Steven Worrall as the new CEO of its infrastructure arm, InfraCo, succeeding Brendon Riley. (Capital Brief)

• Chris Harrop will succeed Jayne Hrdlicka as CEO of Tennis Australia at the end of the year, with no other candidates stepping forward. (AFR)

• South32 to replace CEO Graham Kerr with Matthew Daley in 2026. (Capital Brief)

• Fishburners adds Jason Maletic and Paul Umbrazunas as Non-Executive Directors, expanding its board to five following Majella Campbell's appointment as CEO in February. (Startup Daily)

The watercooler