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Good Morning,

The IPO market has slowed to a crawl in 2022, the Moscow Exchange is banning USD collateral, the dollar flipped the euro (again), China is cutting interest rates, Musk subpoenaed Jack Dorsey in his Twitter lawsuit, Ford is cutting 3k jobs, and Fauci will retire in December.

Are you looking for life insurance but growing frustrated with the search process? Let our friends at Policygenius handle the hard part for you. 

Thank you all for checking out our comp survey in yesterday's email. We're going to make a few edits to break out London's lower comp figures from US to give a more accurate view of the investment banking compensation landscape. Stay tuned and tell your friends to sign up to Exec Sum to get the latest. PS, if you use your unique link at the bottom of the email, you'll earn free merch!

Let's dive in.

Before The Bell

Markets

• Stocks fell sharply to begin the week as investors shied away from riskier assets amid growing fears of further aggressive interest-rate increases and a slowing economy

  • The Dow and Nasdaq had their worst performances since June 16th and 28th, respectively 

• The dollar surged across the board, knocking the Euro back below parity

  • The Euro hit its lowest level in two decades as gas prices continue to soar

• Gold fell to its lowest level in nearly four weeks

• In terms of macro data, US new home sales for July 2022 will be released today

Earnings

• Zoom came up short of both revenue and profit expectations, blaming part of the loss on the rise of the US dollar; its stock fell more than 8% after hours  (CNBC)

• What we’re watching this week:

  • Today: JD.com, Macy’s, Nordstrom, Intuit

  • Wednesday: Nvidia, Salesforce

  • Thursday: Peloton, TD Bank

• Full calendar here 

Headline Roundup

• IPO market is facing its worst year in two decades (WSJ)

• Moscow Exchange will ban use of dollars as collateral starting next week (RT)

• US business borrowing for equipment rose 2% in July (RT)

• Anthony Fauci will retire from government service in December (AX)

• UK's economy shrank in 11% in 2020, its worst performance since 1709 (RT)

• Hedge fund billionaires Ken Griffin and Paul Tudor Jones are among donors to Florida Governor Ron DeSantis' campaign, which has raised ~$142M since the start of 2021 (BBG)

• Chinese banks cut benchmark interest rates in order to revive economic growth (WSJ)

• 47% of Americans have a collective $21B in unused gift cards, store credits (CNBC)

• Elon Musk subpoenaed ex-Twitter CEO Jack Dorsey in his Twitter buyout lawsuit (BBG)

• Musk is seeking a dismissal of Twitter shareholder's lawsuit over his canceled buyout plans (BBG)

• Samsung will invest ~$15B in a new semiconductor R&D plant in Korea by 2028 (RT)

• India and US are nearing a $3B+ deal for US to supply MQ-9B drones (BBG)

• ​Ford will slash 3k jobs in an effort to cut costs (CNBC)

• Cantor Fitzgerald CEO Howard Lutnick was cleared of wrongdoing in an $875M mortgage-unit deal (BBG)

• Ben & Jerry’s lost a bid to block Unilever from selling their ice cream in Israel-occupied West Bank (BBG)

• Sony is being sued for~$5.9B over PlayStation Store prices (IGN)

• From diamonds to wine, investors rush to luxury collectibles (FT)

A Message From Policygenius

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Deal Flow

M&A / Investments

• Japanese bank Sumitomo Mitsui is considering a rival bid for a controlling stake in Indonesian lender Panin Bank, which is currently valued at ~$2.9B (BBG)

• Hungarian ICT firm 4iG and state-owned holding company Corvinus agreed to buy British telecom giant Vodafone's Hungarian unit for $1.8B including debt (BBG)

• Canadian software firm Dye & Durham received shareholder approval from Australia data services firm Link Administration for their ~$1.7B buyout offer (RT)

• Investment firms Centerbridge Partners and Bridgeport Partners will acquire fintech solutions vendor Computer Services in a $1.6B all-cash deal (RT)

• PE firm Thoma Bravo will acquire aerial imagery company Nearmap for ~$728.5M (RT)

• Swiss online pharmacy Zur Rose is exploring a sale; they have a current market cap of ~$715M (BBG)

• Singapore Telecommunications will sell its cyber security arm Trustwave for up to $300M (BBG)

• eBay will acquire trading card marketplace TCGplayer for up to $295M (TC)

• PE firm CVC is in talks to sell its 20% stake in Indonesian snack giant GarudaFood (valued at ~$270M) (RT)

• Canadian cannabis retailer SNDL will buy pot products maker Valens for ~$106M (RT)

• Russian oil firm Lukoil purchased Russian Premier League club Spartak Moscow (RT)

• KKR has considered buying a venture-focused lender to push into tech startup financing as VC funding falls and the IPO window remains shut (TI)

VC

• Fervo Energy, a startup building geothermal power plants, raised a $138M round led by DCVC (BW)

• Japanese health tech startup Ubie raised a $26.2M Series C led by Norinchukin Capital, NVenture Capital, NECCapital Solutions, Dai-ichi Life Insurance, and Egg FORWARD (PRN)

• Kasisto, a conversational AI platform for the financial services industry, raised a $15.5M Series C extension led by FIS and Westpac (PRN)

• Highline Technologies, a fintech startup focused on payroll-linked lending and billpay, raised a $13M Series A led by Jump Capital, Costanoa Ventures, Foundation Capital, and more (BW)

• Korean oncology startup Avelos Therapeutics raised an $8M Series A led by SV Investment, Quad Investment, and more (PRN)

IPO / Direct Listings / Issuances / Block Trades

• Medical imaging systems firm Shanghai United Imaging Healthcare raised ~$1.6B in their IPO debut; its stock price  jumped 75% on the day (BBG)

• South Korean online grocery service Kurly gained preliminary approval for a Korea IPO; they had a ~$3.3B valuation at their latest December 2021 funding round (RT)

• The Government of Romania is allowing Fondul Proprietatea, a minority owner of hydropower producer Hidroelectrica, to IPO a ~15% stake of the energy company by mid-2023 in a deal valued up to ~$2.5B (RT)

• Kazakhstan’s sovereign wealth fund Samruk-Kazyna plans to raise several hundred million dollars in a discounted IPO in oil producer KazMunayGas (BBG)

Debt

• Egypt is nearing a deal with the IMF for a <$15B Extended Fund Facility amid an economic crisis (BBG)

Crypto Corner

• Seven South Korean brokerages plan to start crypto exchanges next year (CD)

• Dozens of Bored Ape NFTs are in danger of getting liquidated (CD)

Exec's Picks

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• Crypto might be in a bear market, but some of Wall Street's biggest banks are quietly trading on (and in some cases, building their own) blockchain networks. Check out this recent WSJ piece on how Goldman, JPMorgan, and others are entering the crypto space.

• As we head into Fall wedding season, y'all need to up your shoe game. Check out the suede milano loafer collaboration I did with Del Toro. These sleds absolutely slap.

The Hiring Block 💼

If you're looking to break into finance, lateral, or move out, check out our job board on Pallet, where we curate highly relevant roles for you. We aim to curate jobs across IB, S&T, VC, tech, private equity, DeFi, crypto, CorpDev and more. We'll sift through all the noise on LinkedIn, Indeed, Monster, etc. so you don't have to.

If you're a company looking to hire candidates and want to list a job opening on our board and feature on Exec Sum, click the button below:

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