☕️ Lithium rout

Good morning.

Elon Musk’s Twitter is now Elon Musk’s X. Tweets that appear in this newsletter are now…Xeets? Xs?

The rebrand is part of an attempt by Musk to turn Twitter (sorry X) into a super app akin to China’s WeChat, where its possible to make payments, book a ride sharing service, order food, and send pithy messages/get into arguments with people.

There is plenty of scepticism about Musk’s ability to pull this off, and over Musk’s stewardship of Twitter (now X) in general. The social media outlet, which cost him US$44bn, is bleeding cash and has a heavy debt burden.

But it’s not all bad news for the billionaire right now - a sharp slide in lithium prices, a key ingredient in electric vehicle batteries, could help his biggest company, Tesla.

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MARKET MOVERS

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

Market News: The entire lithium sector was pummelled on the ASX on Monday - the first trading day since the rocky debut of a new futures exchange in China, where prices tanked.

Core Lithium shares led the way down on the ASX after the company compounded problems by releasing deeply underwhelming production forecasts. Bigger lithium names including Pilbara Minerals and Mineral Resources also ended the day well into the red.

THE QUICK SYNC

• UBS has agreed to pay UK and US regulators nearly US$400m in fines over Credit Suisse’s role in the Archegos collapse. (FT | WSJ | NYT)

• Spotify is raising prices for its premium plans in 50 counties - including Australia. (Spotify | CNBC)

•  Deutsche Bank’s 13 year attempt to kill of an IT system finally worked. (FT)

• China’s trade restrictions had little to no impact on the Australian economy (The Australian).

• RIP Twitter’s iconic bird logo (The Verge).

TRADING FLOOR

M&A:

• Talon Energy investors are unhappy with the failed Strike Energy deal. (AFR)

• Smart Environmental has UBS testing several dealmaking structures to find a good fit. (AFR)

• The bidders for BHP's Blackwater and Daunia coal mines are vying for the support of five Japanese commodities houses. (AFR)

• ACCC has delayed its decision on the $4.9bn ANZ-Suncorp merger for a week. (AFR)

• Harmony Early Learning Journey has announced the acquisition of All About Kids for an undisclosed sum. (BNA)

• Suitors lining up for Chalice Mining are preparing to lob their final offers by August 21. (The Australian)

Capital Markets:

• Bank of America has held a fresh round of meetings with prospective Australian investors for IPO hopeful Cuscal, which is seeking a $500m valuation. (The Australian)

• Oneview Healthcare has Bell Potter Securities and MST Financial Services drumming up interest in a $22m equity raising. (AFR)

• TRUE Infrastructure is trying to raise $20m as it locks down AustralianSuper’s holdings. (AFR)

• Dexus raised $220m for its unlisted healthcare real estate fund. (BNA)

• Canaccord has been sounding out prospective investors for a $40m raise on behalf of Panoramic Resources. (The Australian)

VC:

• FiveV Capital has acquired a majority shareholding in Permaconn, a alarm signalling communications technology business. (Fund announcement)

• VCs are committing to data disclosure on female-led startup investment and screening. (BNA | AFR)

• Melbourne based hospitality startup Liven has acquired four businesses for $152m. (AFR)

Others:

• Core Lithium shares tumble as production and costs fall short. (Market Index)

• AsheMorgan has lodged plans for its $700m-plus Docklands BTR project known as 'District Living'. (BNA)

THE WATERCOOLER