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☕️Undercover Bankers
Banks are recruiting ex-spies to help navigate volatile markets.
Good morning.
Tinker Tailor Soldier Spy Banker. Top firms including Goldman and Lazard are increasingly recruiting ex-spies, diplomats and soldiers to help banks navigate thorny macro-economic events that threaten to destabilise markets. Bloomberg reports that in such an election-heavy year, companies are desperate to distinguish themselves with talent that offers unique geopolitical expertise.
Given the meat-grinder-esque hazing process that junior bankers are routinely subjected to in their early years, perhaps they’d be better off getting experience in MI6 or the CIA before making a tactical lateral move.
ASX as at market close. Commodities and crypto in USD.
🏆 LOI Subscriber #TBD
Market movers
Shares in Nanosonics plummeted by over a third during trading Wednesday, after the ultrasound disinfectant maker flagged a 72% earnings drop in its H1 update ahead of final results to be released on Friday. Earnings before interest fell from $10.7 million to $3 million, while operating expenses rose by 12%. The trading update says NAN is experiencing ongoing uncertainty in the sector, leading to lower sales and delayed equipment upgrades.
The quick sync
Albanese is set to blame Labor’s stage 3 tax cut overhaul on inflation and the cost-of-living crisis during his National Press Club address later today. (Capital Brief)
Microsoft’s market value hit US$3 trillion for the first time on Wednesday as tech stocks continue to rally. (CNBC)
Despite optimism that we’d see an uptick in listings, the subdued IPO market looks set to continue in 2024. (Capital Brief)
Australian growth funds outperformed in Mercer’s investment performance tables for 2023, buoyed by incoming rate cuts, a global soft landing and boom in AI. (The Australian)
Bill Ackman and wife Neri Oxman have bought a 4.9% stake in the Tel Aviv stock exchange for US$25 million, as part of a wider stake sale worth US$95 million. (Financial Times)
The ‘big four’ banks are sitting on billions in cash that they are keen to deploy quickly, potentially in the form of share buybacks. (Capital Brief)
Shares in SAP jumped 7% to a record high on news that the software giant would restructure 8,000 jobs and focus growth in AI with a €2b investment. (Reuters)
Trading floor
M&A
As Seven Group's CEO, Ryan Stokes grapples with a majority 71.6% stake in cement maker Boral, markets ponder the possibility of a block trade in the pipeline. (AFR)
Westpac and ANZ finalise multi-billion dollar bond deals, reflecting strong investor demand and reduced funding costs. (AFR)
Jefferies Australia was appointed sell-side adviser for TPG Capital's Novotech, leveraging its global franchise to find a buyer for the $4b sale. (AFR)
Founders of Sparro, Morris and Cameron Bryant, have sold their business to UK's Brainlabs, which handles $200m in advertising. (AFR)
Body Catalyst has been saved from collapse as creditors approved a deed of company arrangement (DOCA). (BNA)
BWP Trust, the owner of 75 Bunnings Warehouses, is set to acquire Newmark Property REIT in an all-share deal valued at $246.8m. (AFR | AFR)
Woodside CEO Meg O’Neill has tempered expectations regarding a potential merger with rival Santos, indicating that discussions are still in the early stages. (SMH)
Capital Markets
Square Peg's returns show provisions for write-downs as exits struggle in 2023. (AFR)
VC
Ultra Violette secures a $15m investment from Aria Growth Partners for North American retail expansion. (BNA)
People moves
JPMorgan operator Andrew "Art" Tanner is poised to join E&P Capital as a managing director and senior adviser in the capital business. (AFR)
Linktree hires machine learning experts to enhance user monetisation. (Smart Company)
☝️ Know about a deal or people move we don’t? Hit reply.