☕️Stubborn as a Stockbroker

Good morning.

Stockbrokers are holding the line and refusing to cough up to fund Iress’ latest tech upgrade, with the Stockbrokers and Investment Advisers Association (SIAA) telling the financial services provider’s independent chair that there is no legal basis for the company's attempt to charge customers directly for upgrading its own systems.

A letter from the SIAA to Iress seen by Capital Brief says that the association’s members would "as a whole" not pay after being advised they would be invoiced for a one-off fee. Unlike its rivals in the space, Iress has refused to absorb the cost of integrating an ASX upgrade to move from a ‘staggered open’ to a single, immediate one.

Despite holding a ‘quasi-monopoly’ in the space, Iress’ bottom line will no doubt take a sizeable hit should the stockbrokers come out on top.

🏆 LOI Subscriber #TBD

Market movers

EVT shares jumped Monday after first-half profit smashed expectations, soaring 83% above forecasts with booming hotel margins and a cinema rebound.

The quick sync

• Tech Council urges cooperation as Trump's order threatens Australia’s tech levy and regulations. (Capital Brief)

• Stockbrokers reject Iress' tech upgrade fee, citing no legal basis, risking financial impact on the company. (Capital Brief)

• Nine's interim CEO met CoStar's boss weeks before the US giant's surprise $4.20-a-share takeover bid for Domain, raising questions about Nine’s control and strategy. (AFR)

• Australian fintech investment rose in 2024, but deal volume shrank, with growth driven by two large acquisitions. (Capital Brief)

Trading floor

M&A

• Perpetual rejects KKR bid over tax costs, plans business split. (Capital Brief)

• Australian Ethical came close to acquiring Future Super but pulled out last minute. (AFR)

• Apollo to buy Bridge Investment for $1.5b to expand real estate assets. (FT)

• Zendesk is acquiring Sydney-based Local Measure for $100m, doubling its valuation since 2023. (AFR)

• Domain hires UBS to assess CoStar’s $2.65b takeover bid. (The Australian)

Capital Markets

• Gilmour Space sets 15 March launch for Australia’s first orbital rocket. (Capital Brief)

• Mastercard’s market power trial delayed to 2026 over evidence issues. (Capital Brief)

• QIC nears major equity injection for Pacific Energy amid rising investor interest in WA mining power. (AFR)

• Neuren shares rise after FDA grants rare pediatric disease designation for its trial treatment. (Capital Brief)

• Australian super funds have heavily invested in the US, but Trump’s second term and increased scrutiny of private assets pose risks. (Capital Brief)

• Orezone Gold moves forward with ASX listing, targeting $39m raise. (AFR)

• Australia’s major banks rebounded after an eight-day slump that wiped $63b from their market value, driven by profit concerns and margin pressures. (Capital Brief)

• Ryman Healthcare eyes ASX listing, raises $900m to cut debt. (The Australian)

• Alibaba to invest 380b yuan in AI and cloud, calling it a "once-in-a-generation" opportunity. (Capital Brief)

• APA Group brings in consultants as it prepares for cost-cutting and potential job cuts to address its declining share price. (AFR)

• Apple commits $500b to US, adding 20,000 jobs and boosting manufacturing to navigate Trump tariffs. (Capital Brief)

• ASIC moves to limit ASX's monopoly with new fee transparency and third-party access rules. (Capital Brief)

• Pallas Capital secured $185m in fresh funding after a record quarter. (AFR)

• NinjaOne raises $763m to fund its $402m Dropsuite acquisition. (Capital Brief)

• Microsoft canceled US data center leases, raising AI slowdown concerns, but says its $126b investment plan is unchanged. (Capital Brief)

• Palliser urges Rio Tinto to let Australian shareholders vote on dual-listing review. (Reuters)

• Labor plans to mandate satellite-powered mobile coverage across Australia, pushing Telstra, Optus and TPG to expand services using emerging direct-to-mobile tech. (AFR)

• JPMorgan is committing US$50b to direct lending as it expands into the booming private credit market, competing with rivals shifting away from traditional debt markets. (FT)

• Berkshire Hathaway shares hit record high as Buffett’s conglomerate posts all-time best profit. (Reuters)

• BP is abandoning its renewables push and refocusing on oil and gas as investor pressure and weak returns force a U-turn. (Reuters)

VC

• Blackbird backs Noosa startup Springboards with $5m to boost AI-powered ad creativity. (Capital Brief)

• Endua unveils a fast-deploying hydrogen power system to improve clean energy access. (Capital Brief)

People moves

• WiseTech confirms Richard White's role but faces board turmoil, with four directors resigning over disagreements on his involvement, amid past legal controversies. (Capital Brief)(AFR)

• Alcoa shares drop as chairman Steven Williams announces his departure after nine years on the board. (Capital Brief)

• Cbus appoints Leigh Gavin as the new deputy CIO amid scrutiny over payments to the CFMEU. (AFR)

• Slater + Gordon probes leaked salary email; alleged sender denies involvement. (The Australian)

• Court approves penalties for ex-Star execs over money-laundering breaches; trial for others resumes 5 March. (Capital Brief)

• NextDC offers $150m in bonuses, with CEO Craig Scroogie eligible for $112m if share price doubles. (AFR)

• News Corp’s US policy executive, Todd Thorpe, visits Canberra as Trump’s stance raises doubts over Australia’s tech levy. (Capital Brief)

• Ex-Slater and Gordon exec denies role in salary data leak, pointing to metadata as proof. (AFR)

• Starbucks is axing 1,100 corporate jobs, with staff told to work remotely as new CEO Brian Niccol tries to jolt the coffee giant back to life. (FT)

• Elizabeth Holmes’s last best shot at overturning her fraud conviction has failed, tightening the legal noose on the Theranos founder. (WSJ)

The watercooler