☕️ Heroic rise

Good morning.

Employment Hero, the local HR tech disruptor, is basking in the glory of its $263m Series F raise—the pièce de résistance of its capital injections—as it swans toward profitability.

CEO Ben Thompson told Capital Brief’s Dan Van Boom that this influx of cash is their final flirtation with venture capital unless a tempting acquisition waltzes by. “As it stands today, we have more cash than we’re ever likely to burn,” Thompson said.

He also shared Employment Hero is on track to become profitable later this year and plans to stay ahead of competitors like Deputy, Rippling, and Deel by continually enhancing their platform, including, you guessed it, with AI-powered features.

🏆 LOI Subscriber #TBD

Market movers

Guzman y Gomez’s ASX debut on Thursday saw Gen Z investors storming the market, gobbling up nearly a third of all trades on retail platforms, the AFR reported. Despite the initial frenzy, the stock stumbled 3.33% to $29 by Friday.

As Stake analyst Megan Stals told the AFR, "Investors are treading somewhat carefully," suggesting that even the avo-on-toast generation knows not to put all their guac in one basket.

The quick sync

• News Corp Australia and TikTok explored a content deal where News Corp would be paid for its videos, marking a significant initiative for TikTok globally. (Capital Brief)

• Japanese energy companies are on-selling surplus Australian gas to allies in South-East Asia. (AFR)

• Westpac’s board has tapped Heidrick & Struggles as it ramps up CEO search efforts while rivals mount defence. (The Australian)

• Microsoft, Macquarie pump billions into power hungry data centres. (Sydney Morning Herald)

• Bank of Queensland chief economist Peter Munckton knows why where there is so much disagreement about the future trajectory of the Australian economy. (Capital Brief)

Trading floor

M&A

• EQT Partners secured a $220m loan from seven lenders, including Commonwealth Bank and Barclays, for its $700m acquisition of software company PageUp. (AFR)

• Anglo American is set to appoint an investment bank imminently to manage the sale of its $US5b Australian coalmining assets (The Australian)

• Cleanaway Waste Management is set to acquire Melbourne City Council's Citywide Service Solutions' commercial waste division, with a deal expected soon. (AFR)

• Bapcor is set to reject Bain Capital's $1.8b buyout offer unless it's increased. (The Australian)

• AirTrunk's auction is expected to secure a $15bn-plus valuation, with strong interest from private equity and infrastructure funds. (AFR)

• GreenFort Capital and Gaw Capital Partners have partnered in an $800m joint venture to develop retirement living communities. (BNA)

• IFM is interested in acquiring Healius' diagnostic imaging business and has hired Morgan Stanley to assist, leveraging its lower cost of capital. (The Australian)

Capital Markets

• Albert Peker, ex-Gandel Group dealmaker, is raising $50m for Tyalla Capital’s new private credit fund, promising a 10% net return. (AFR)

VC

• Naked Rivals, a startup making juice cubes from "ugly" fruit, raised $3m from an angel investor. (BNA)

People moves

• MST Financial has hired Cameron Duncan and Steve Anagnos from Shaw and Partners to launch a new hybrids and structured investment solutions division. (AFR)

Together with FinTech Australia

Apply now to speak at Australia’s premier fintech festival

FinTech Australia is calling for speakers at Australia's most thought provoking fintech festival, Intersekt, on the 18 and 19th of September, 2024!

Global and local fintechs, banks, financial institutions, regulators, government and investors will participate to hear from key thought leaders that are enabling the next generation of innovation in Australia.

The themes for this year include green fintech, policy-driven technology innovation, funding and growth journey, market-driven innovation, and cyber resilience.

Submit your Expressions of Interest before 1 July at intersektfestival.com.

The watercooler