☕️ Goldman’s view

Good morning.

Goldman Sachs CEO David Solomon struck an optimistic tone at a Reuters conference, forecasting that dealmaking could surpass 10-year averages in 2025, buoyed by a deregulation tailwind under Donald Trump’s second administration.

When asked about crypto, Solomon kept it simple: “That’s one for the regulators.”

“At the moment, as a regulated banking institution, we're not allowed to own a cryptocurrency like Bitcoin as a principal," he said. "We give our clients advice around a variety of these technologies and these issues and will continue to do that, but for the moment our ability to act in these markets is extremely limited from a regulatory perspective."

With pro-crypto Paul Atkins already tapped as the next SEC chair, the market is betting major changes are on the way.

🏆 LOI Subscriber #TBD

Market movers

Perpetual shares got hit on Tuesday after the ATO slapped a $529m tax bill on the KKR deal, gutting expected proceeds. What was an $8.38 per share windfall is now a grim $5.74, with Morningstar saying the sale is now unlikely.

The quick sync

• Australian deep tech startups are booming, with 22% of ventures tackling AI and green innovation, the 2024 Startup Muster shows. (Capital Brief)

• ANU Vice-Chancellor Genevieve Bell’s Intel salary, $1.1m VC pay and restructuring plans face scrutiny amid scepticism over the university’s financial woes. (AFR)

• Private credit pioneer Qualitas wants to capitalise on the emerging build-to-rent sector, aiming to deliver strong risk-adjusted returns amidst a growing Australian market. (Capital Brief)

• Microsoft shareholders reject Bitcoin investment, aligning with the board’s strategy and Bill Gates’ crypto scepticism.(Quartz)

• Wall Street’s US$380b structured finance boom, fuelled by insatiable investor demand for high returns, is reshaping markets with esoteric deals tied to everything from chicken wings to Shakira’s music catalogues. (FT)

Trading floor

M&A

• Nomura is offering debt financing for the potential sale of Micromine. (AFR)

• Small family-owned operators are bidding for Treasury Wine Estates' non-core wine brands. (The Australian)

• ACCC approves Integral Diagnostics' proposed merger with Capitol Health. (Capital Brief)

• Adamantem Capital is selling its allied healthcare business, Plena, with Pacific Equity Partners and Medibank as potential buyers. (The Australian)

• NOJA Power, backed by Ellerston Capital, is preparing for a $1bn dual-track sale process. (AFR)

• Treasury Wine Estates acquires a stake in a Chinese winery to boost its Penfolds brand in the Chinese market. (Capital Brief)

• Alceon-backed Efex acquires Medihost Solutions to expand its IT services for small and medium-sized enterprises. (AFR)

• Maas Group is a major contender in the auction for Buckeridge Group of Companies. (The Australian)

• Perpetual faces a potential tax hit on the sale of its corporate trust and wealth management business to KKR. (Capital Brief)

• Viva Leisure invests in World Gym Australia to expand its fitness network. (BNA)

Capital Markets

• Fintech company Caruso secures $3.2m from Balmain to fuel global expansion. (Capital Brief)

• Mosaic Brands is closing 160 stores due to financial difficulties. (BNA)

• Tech stocks on the ASX fell sharply following a global tech selloff triggered by concerns over Chinese regulatory scrutiny of Nvidia. (Capital Brief)

VC

• Australian retail analytics startup GoodWork.ai gets $4m funding to develop AI solutions for retailers. (Capital Brief)

• Scarcity Partners, led by Adrian Whittingham, invests in Singapore-based venture capital firm January Capital. (AFR)

• Australia's National Reconstruction Fund invests $13m in Quantum Brilliance to develop quantum diamond technology. (Capital Brief)

• Australian startup ARC Ento Tech has secured $5m to expand its waste-to-energy technology globally. (Capital Brief)

People moves

• Former AI marketing CEO David Fairfull faces legal action over alleged investor fraud. (Capital Brief)

• 1851 Capital, a small-cap fund manager, hires from Wilsons Advisory to strengthen its team. (AFR)

• Rupert Murdoch's attempt to consolidate his eldest son's control over his media empire through a trust amendment was rejected by a US court. (Capital Brief)

• Bupa offers incentives to doctors to switch hospitals as a dispute with Healthscope intensifies. (AFR)

• Barclays plans to hire 100 advisers and boost tech spending to grow its private banking and wealth unit, targeting the UK’s £3.5 trillion market while skipping US expansion. (Reuters)

The watercooler