☕️ IPO fizzle

Good morning.

With September over and the US election looming, the FT Lex column is calling time on 2024’s IPO run. Few execs are willing to face November’s market chop, and while US$26 billion ($37.66 billion) has been raised in New York IPOs this year, that’s still a shadow of pre-2020 levels when that figure rolled in just about every six months.

As ever, hopes for 2025 shine brighter, with companies banking on steadier waters – and crucially – falling interest rates to finally float their listings.

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Market movers

Star Entertainment’s return to the ASX after a trading suspension felt more like a freefall than a comeback, shedding 40% on Friday.

A $1.69 billion statutory loss – the second ‘b’ hit after last year’s $2.44 billion loss – hardly signal resilience.

The quick sync

• Australia's big four banks turn to AI to strengthen dominance, shaking off outdated legacy systems. (Capital Brief)

• Q-CTRL warns Australia’s lack of support could push quantum startups offshore, criticising the government’s focus on a single billion-dollar rival. (Capital Brief)

• New weight-loss drugs flood Australia's market as Ozempic alternatives like Wegovy and Mounjaro step up amid rising demand. (AFR)

• WiseTech's Richard White launches partnership with CBA, HSF, NBN and others, targeting 1.2m tech workers by 2030, tackling Australia's talent shortage amid AI adoption and cyber threats. (The Australian)

• China’s central bank orders mortgage rate cuts to revive housing market as major cities ease homebuying rules. (Bloomberg)(Bloomberg)

Trading floor

M&A

• Clayton Larcombe has sold a majority stake in Clearwater Portfolio Management, which manages $280m in assets. (AFR)

• Affinity Equity Partners has dropped out of the Waste Services Group bid leaving EQT, The Carlyle Group, Pacific Equity Partners, and BGH Capital in the running with bids due this week. (The Australian)

• I-MED, amid a $4bn sale, faces allegations of patient data misuse, with claims it allowed a startup to use scans for AI training without consent. (AFR)

• Quadrant Private Equity's $1bn MotorOne sale is advancing, with initial bids due next week from interested buyers like Bain Capital. (The Australian)

• Singapore’s GIC is eyeing a stake in Transgrid as CDPQ looks to divest its interest in the NSW electricity transmission network. (The Australian)

Capital Markets

• Cosmetique plans a $17.5m ASX listing to expand its 17 clinics and capitalise on Australia's $4bn injectables market. (BNA)

• After Star Entertainment's $1.7bn loss, attention shifts to Crown Resorts and concerns about its debt and covenant breaches. (The Australian)

VC

• Quantum startup Q-CTRL warns it may move overseas due to insufficient government support and strict export controls, which have already pushed some R&D to the US. (Capital Brief)

• Startmate, co-founded by Mike Cannon-Brookes, has given investors six times their money after a $35,000 investment in cybersecurity startup Bugcrowd led to a $2.1m return. (AFR)

People moves

• Billionaire Bruce Gordon quietly retires from WIN regional boards, sparking questions over the future of his media empire and 25% stake in Nine Entertainment. (AFR)

• Articore Group faces renewed pressure from shareholder Michael McConnell, tied to Osmium Partners, as he seeks four board seats through a public letter campaign after a failed bid last year. (AFR)

• Dave Ahmet, founder of MotorCycle Holdings, steps down as CEO for health reasons, with Matthew Wiesner taking over. (BNA)

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The watercooler