☕️ Fork in the road

Meta says it will change but only for a price.

Good morning.

Social media has hit a major fork in the road.

Meta is going to charge Europeans US$14 to access an ad-free Instagram, with the company withholding the personal data of subscribers from advertisers.

After years of criticism for selling the information off, the ‘Social Network’ is effectively agreeing to draw a line in the sand – for a price. Now to see how many people are actually willing to pay.

*Stock data as of the market close. Commodities and crypto data in USD.

LOI Subscriber #TBD

MARKET MOVERS

Market News: There was a sea of red on the ASX on Tuesday with mining, utility and energy companies leading the market lower.

A rally in long-term bond yields suggests interest rates will stay higher for longer. Throw in a stronger US dollar and analysts were downgrading their outlook for oil demand.

Beach Energy fell heavily alongside energy names like Santos and Woodside, utility AGL and miners Coronado and Mineral Resources.

Together with Stake | Invest on Wall St and the ASX

THE QUICK SYNC

  • Long-term US bond yields have hit a 16-year high as the US Fed is tipped to keep hiking. (Financial Times)

  • Amazon used a secret algorithm to hike prices and lead competitors higher. (WSJ)

  • India has instructed Canada to withdraw dozens of diplomatic staff as tensions worsen. (Financial Times)

  • Netflix will hike prices following the resolution of the actors strike while Disney+ considers expanding into live sports. (WSJ)

TRADING FLOOR

M&A:

  • Gina Rinehart has acquired further shares in Liontown Resources. (The Australian)

  • Computershare is divesting CLS to Rithm Capital for $720m in US dollars, which is approximately $1.13bn in local currency. (AFR | BNA)

  • Superloop is considering a higher bid for Symbio despite labeling their previous offer as "best and final." (AFR)

  • MA Financial has invested $20m in Australian marinas in Batemans Bay and Port Macquarie. (BNA)

  • ECS Botanics has a binding offtake agreement to supply $24m worth of medicinal cannabis dried flower to MediCann Health over the next five years. (BNA)

  • Raph Geminder's takeover bid for Pact is still not meeting the required financial criteria. (The Australian)

Capital Markets:

  • Birkenstock plans to raise as much as $1.58bn in its eagerly awaited U.S. IPO, reaching the upper limit of its price range. (Capital Brief)

  • Clemmet Hire has successfully concluded a $3m funding round to accelerate its growth initiatives. (AFR)

  • Resvu has secured $4m in funding to support its expansion efforts into the vast U.S. market. (The Australian)

  • Mighty Kingdom is considering the option of borrowing against future R&D rebates as a means to sustain its operations. (The Australian)

VC:

  • Greener, a cleantech startup, has joined forces with companies like Origin, ARA, Sendle, and others to introduce a new platform. (BNA)

  • Eden Brew secures $24.4m in Series A funding for the launch of its animal-free products. (Startup Daily | Smart Company)

  • The BHP Xplor program is actively seeking startups engaged in copper and nickel exploration, offering $500,000 grants to support their endeavours. (Startup Daily)

Others:

  • In WICET's $2bn debt stack refinancing, industrial action and ownership changes have become major considerations. (Capital Brief)

  • How Salesforce is hitching its wagon to AI. (Capital Brief)

  • Shares of troubled Evergrande have surged after trading resumed on the Hong Kong stock exchange. (Capital Brief)

  • Endeavour has enlisted Citi and Jarden to help navigate a dispute with dissenting shareholders Bruce Mathieson and Bill Wavish. (AFR)

  • XTEK has secured a significant support contract with the Australian Department of Defence, potentially valued at over $110m. (BNA)

  • Phillipa Chen is taking on the role of CFO at Zen Energy, following her 16-year tenure at Macquarie. (AFR)

  • Aaron Lamshed has assumed the position of Head of Equity Capital Markets for Australia and New Zealand at Goldman Sachs. (AFR)

  • Shaw and Partners has expanded its research and equity capital markets teams by welcoming Abraham Akra and Tom Fraczek. (AFR)

  • Kellogg's is rebranding as "Kellanova" and intensifying its focus on the snacks industry. (SMH)

  • Ian Taylor, Goldman Sachs' head of equity capital markets, is set to depart next year to assume a position at APM Human Services. (The Australian)

THE WATERCOOLER