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Collins Foods posts bumper half-year results

Good morning.

While typically recognised for its own cut-throat tactics, Goldman Sachs – AKA the Vampire Squid – is experiencing a raid on its own ranks, as competitors move in on the bank’s AI talent.

Bloomberg reports that in the last year, Goldman has seen over 100 AI employees lured away to rivals. While it may seem a small figure, the report shows that competition for talent is fierce. With the right skills commanding a median US salary of US$901,000 in 2022, it’s no wonder that GS is paying attention.

The bank’s chief executive David Solomon recently told the FT that “the competition for top talent is still pretty intense. And so, that has an impact on how we make judgments.” He added that ongoing poaching efforts from rivals is likely to influence its remuneration decisions in the impending (but likely bleak) bonus season.

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Market movers

Collins Foods jumped 7.8% on opening yesterday, after reporting a revenue boost of 14.3% to $696.5m in the half year ended 15 October. Underlying earnings also rose above 16% in the same period, securing an interim net profit of $50.5m.

The fast food heavyweight is benefiting from investment and growth in digital and delivery services, with e-commerce channels accounting for 28.1% of Collins Foods brand KFC Australia’s sales in the first half. The company runs 275 KFC stores in Australia, 72 across Germany and the Netherlands.

The Colonel’s secret recipe is inflation-proof – or at least so it seems.

The quick sync

  • Australia’s share trading platforms brace for an industry shakeup as details leak from a two-year ASIC investigation. (Capital Brief)

  • The US dollar hits three-month low after Fed official signals rates may fall. (Financial Times)

  • Facing turbulent times again, CPA Australia is swinging the jobs axe – and its problems don’t end there. (Capital Brief)

  • UK antitrust regulator warns Adobe’s £20bn merger with Figma could harm competition. (Bloomberg)

  • US home prices rose in September, continuing eight month climb. (Wall Street Journal)

  • Ashurst is jostling for a place as one of Australia’s ‘Big Six’. (Capital Brief)

Trading floor

M&A

  • A suspected mystery buyer, likely Saba Capital Management, has acquired a parcel of shares in Hearts and Minds Investments LIC. (AFR)

  • Treasury Wine Estates is set to auction $173m in unsubscribed shares for its DAOU acquisition. (The Australian)

  • Entering round two, Quadrant Private Equity is getting closer to spinning off myHomecare for ~$400m. (AFR)

  • Morgan Stanley is overseeing the $500m sale of industrial firm GMA Garnet. (The Australian)

  • Ongoing work is reported for a NZ$700m merger between Jarden's wealth unit and JBWere's New Zealand operations. (The Australian)

  • Jarden's Snowy River gold project sale is extended to mid-January. (AFR)

  • Mineral Resources' acquisition of the Bald Hill lithium mine in Western Australia for just $260m has sent shockwaves through the local lithium sector. (AFR)

  • Louis Dreyfus Company Asia (PDC) is set to acquire Namoi Cotton in a full takeover valued at $105m. (BNA)

  • Acheron Capital appears poised to gain control of Balmaine Gold. (AFR)

CAPITAL MARKETS

  • Jet Charge engaged UBS to raise approximately $70m from investors, with the bank reaching out to potential backers. (AFR)

  • Hollard is preparing for its inaugural bond issue in Australia, with potential investors briefed and terms expected to be announced soon. (The Australian)

  • IPD Group launches a $65m equity raising for CMI Operations acquisition. (AFR)

  • Plenti shares jump 69% after partnering with NAB to offer car and renewable energy loans to the bank's clients. (Capital Brief)

  • Activ8's Chris Northwood raises funds for year-round skiing with Snowtunnel. (AFR)

VC

  • Birchal, a crowd-sourced funding platform, initiates its own capital raise in a busy quarter. (Capital Brief)

  • WLTH secures $14m funding from investors including Rajomon and Kina Bank, and concurrently acquires Mortgage Mart. (Startup Daily)

  • Akin, citing toxic outcomes from VC funding, plans to bypass the process and list on the US stock exchange, according to founder Lee Yearsley. (AFR)

  • BizPay was placed in voluntary administration last week. (Startup Daily)

People moves

  • TPG Capital swiftly overhauls InvoCare's leadership, appointing Eron Plumb as CEO amid the delisting process. (AFR)

☝️ Know about a deal or people move we don’t? Hit reply.

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