☕️Dovetail Defence

Good morning.

Blackbird-backed Dovetail and its co-founder Benjamin Humphrey are pushing for a dismissal of an explosive sexual harassment and discrimination lawsuit filed against them by former legal counsel Bethany Lo Russo.

A detailed defence seen by Capital Brief contests the core accusations that have rocked the country’s tech startup scene. Dovetail and Humphrey strongly reject Lo Russo's allegations that he engaged in "a pernicious and relentless pursuit" of her involving unwelcome sexual advances during her employment at the company. Instead, they claim Lo Russo initiated the interactions.

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Market movers

Gold Road shares surged Monday as the miner backed a sweetened $3.7b takeover from Gold Fields, locking in a 43% premium for shareholders.

The quick sync

• Optus AI chief warns Australia risks missing out on a $317b global AI boom if it follows Europe's strict regulations. (Capital Brief)

• The ABC is set to unveil the next phase of its AI strategy, expanding staff access to custom tools as it pushes deeper into generative technology. (Capital Brief)

• Biotech startup Levur secures $1.2m to fast-track lab-grown, sustainable oils targeting palm oil's $100b market and high-margin cosmetic and food sectors. (Capital Brief)

• New Westpac CEO Anthony Miller sticks to the bank’s tech-focused overhaul while signalling cautious optimism on the economy amid global volatility. (Capital Brief)

Trading floor

M&A

• Gold Road accepts $3.7b takeover offer from Gold Fields with board backing. (Capital Brief)

• Affinity Equity Partners seeks acquisitions to grow Lumus Imaging’s revenue following its $965m purchase. (The Australian)

• Tyro exits Smartpay takeover race after rival enters exclusive talks. (Capital Brief)

• 1Breadcrumb merges with SignOnSite in $4.5m deal, expanding construction safety tech. (Startup Daily)

• Erste buys 49% of Santander’s Polish unit in €7b deal for control and expansion. (Capital Brief)

• Qube Holdings is expected to pursue a major acquisition, potentially expanding further in New Zealand or exploring scale-driven opportunities like Brookfield’s stake in Patrick Terminals. (The Australian)

Capital Markets

• Endeavour reported a dip in Q3 sales but is aiming for flat to modest growth in Q4. (Capital Brief)

• Tetratherix explores ASX IPO with Barrenjoey and Morgans, appoints Emma Cleary as chair. (AFR)

• BYD outsells Tesla 6-to-1 in Australia as Tesla’s sales plummet. (AFR)

• Netflix posts $1.3b in Aussie revenue amid looming content quotas. (Capital Brief)

• Blackbird invests $60m in Airwallex’s Series F raise, marking its first backing of the payments company. (AFR)

• Ares Management raises US$20b in Q1, AUM tops US$546b on private credit demand. (Capital Brief)

• Terra, Lowell, and Deutsche Balaton back VBX’s IPO, offering unique bauxite exposure. (AFR)

• OpenAI abandons plan to shift power to for-profit arm, restructuring under nonprofit control to protect its mission amid US$40b funding deal. (Capital Brief)

• Harris Farm Markets' losses surged to $22m after a software rollout triggered a covenant breach, but it’s back on track and expanding with fresh capital. (AFR)

VC

• Health start-up Eucalyptus shifts focus to online weight-loss drugs, cuts staff and ditches in-store sales. (AFR)

People moves

• Paladin names Anne Templeman-Jones to board as audit chair-elect. (Capital Brief)

• Jamie Glanz joins Jarden from Moelis as director in industrials team. (AFR)

• Stockland appoints Josh McHutchison as CFO, replacing Alison Harrop. (Capital Brief)

• Two analysts depart Firetrail after less than two years with the firm. (AFR)

• The ACCC has officially appointed Sarah Proudfoot as CEO after serving in the role on an interim basis. (Capital Brief)

• Barbara Chapman to step down as NZME chairman amid investor-driven board changes. (The Australian)

The watercooler