☕️ Hard bargain

Good morning.

GM has become the last Detroit automaker to reach a tentative agreement with workers who have been picketing factories across town.

It potentially ends the long-running battle with the United Auto Workers union after Stellantis and Ford came to the negotiating table earlier.

But the deals will come at a price. A 25% pay increase over four years would add almost US$1,000 of costs to each Ford vehicle for example, and could hand a competitive edge to Detroit’s rivals.

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

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MARKET MOVERS

Market News: The owner of Australia’s largest hard rock lithium mine has warned investors it might have to cut production if demand remains weak.

In a quarterly production update on Monday, IGO said challenging market conditions out of China could create a surplus in the first half of 2024.

As a result, the ASX-listed owner said “it may be necessary to reduce production” at Australia’s Greenbushes mine, in which it has a 25.5% stake.

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THE QUICK SYNC

• BlackRock warns investor to get behind mining or risk the green transition. (Financial Times)

• Tesla shares have dropped after battery partner Panasonic stoked fears over EV demand. (CNBC)

• X says its now worth US$19 billion, down from US$44 billion last year. (New York Times)

• ‘Streamflation’ has arrived in Australia as Apple hikes and Disney looks to follow. (Capital Brief)

• Meta has rolled out an ad-free subscription service for Instagram and Facebook. (CNBC)

TRADING FLOOR

M&A:

• Palisade Investment Partners joins the contest for Queensland Airports Limited. (The Australian)

• Diverger's agreed Count Limited deal faces competition from COG Financial Services. (AFR)

• Bell Rock sells most of its Whitehaven shares after the management campaign. (Capital Brief)

• Zhaojin Mining enlists Standard Chartered and Herbert Smith Freehills for the Tietto Minerals acquisition. (AFR)

  • Zhaojin Capital's Tietto Minerals bid may spark interest in undervalued West African gold miners. (The Australian)

• Aussie Broadband offers $258m for Symbio, becoming Australia's fourth-largest internet provider. (AFR)

• Jarden is in talks with NAB for an M&A deal. (The Australian)

• Superloop is unlikely to re-enter Symbio bidding despite Aussie Broadband's lower offer. (The Australian)

• PE firm Crescent Capital Partners has picked up a stake in Walski Clinical Research. (AFR)

Capital Markets:

• Private credit is booming and it could produce unintended consequences in property. (Capital Brief)

• Brookfield has finalised a $1.45b refinancing deal for senior living business Aveo. (AFR)

VC:

• Leigh Jasper, creator of Aconex, launches Firmable with $9m in backing from investors. (AFR)

• University of Queensland professors launch AQC with $3m for advanced quantum hardware. (Startup Daily)

• Investible and Mandiri Capital will launch a global climate tech fund. (Startup Daily)

• Mutinex secures $9.5m for AI-driven marketing platform expansion, valuing the company at $75m with EVP Partners as the primary investor. (AFR)

Others:

• Endeavour shares drop 2.5% as first-quarter sales show modest gains. (Capital Brief)

• Cuscal will proceed with a backend bookbuild as investors voice concerns over market volatility, sparked by the Middle East crisis, and fund lockup worries. (AFR)

• Pacific Equity Partners set to launch Fund VII, its largest fundraising to date. (AFR)

• Qantas admits to pandemic flight cancellations but denies deliberate disruption in 2022. (BNA)

THE WATERCOOLER