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Good Morning,

FTX is on an acquisition warpath, California is mailing inflation relief checks, big media names are bidding for the NFL's Sunday Ticket package, JetBlue raised its offer to buy Spirit Airlines (again), and Credit Suisse helped launder money related to cocaine trafficking.

Shoutout to our homies at The Milkroad sponsoring today's newsletter. Check them out below.

Let's dive in.

Before The Bell

Markets

• Stocks dipped slightly on Monday in a quiet trading day

  • The energy sector of the S&P 500 rose 2.8%

  • US pending-home sales rose in May by 0.7%, breaking a six-month decline even as mortgage rates continue to rise

• Stocks in Asia rallied as investors grew more optimistic about Chinese economic growth and coming economic stimulus

• Thursday marks the end of the second quarter, and portfolio rebalancing may create volatile price action in some stocks

Earnings

• Nike exceeded earnings and sales expectations for fiscal Q4 as the sneaker giant overcame a Covid lockdown in China and a tough climate for consumers in the US; their stock briefly rose before falling 3% after-hours (CNBC)

• What we’re watching this week:

  • Wednesday: Bed Bath & Beyond, General Mills

  • Thursday: Walgreens Boots Alliance, Micron Technologies

• Full calendar here

Headline Roundup

• Orders for durable goods and pending home sales both rose last month, signaling that demand is holding up as economic growth slows (WSJ)

• Credit Suisse was found guilty by a Swiss federal court of helping a Bulgarian crime ring launder money related to cocaine trafficking (WSJ)

• California will send up to $1,050 in "inflation relief" checks to nearly 23M residents (CBS)

• A global minimum corporate tax rate, agreed upon last year, is facing roadblocks from US and Hungary (WSJ)

• Goldman Sachs and Wells Fargo raised their dividends after the Fed cleared the way (WSJ)

• Disney, Apple, and Amazon have all submitted bids to become the new broadcast rights owner of the NFL’s out-of-market Sunday Ticket package, which could be valued at more than $2B (CNBC)

• Proceeds from equity listings in mainland China climbed to a record share within APAC in the 1H'22, with China accounting for nearly two-thirds of all fundraising deals in the region (BBG)

• China's market regulator proposed new rules on Monday aiming to improve anti-monopoly governance (RT)

• House Speaker Nancy Pelosi is preparing votes on a number of bills protecting abortion rights in response to the recent overturning of Roe v. Wade (AX)

• Amount, a fintech valued at $1B last year, laid off 18% of its staff (TC)

• Billionaire investor and CEO of Galaxy Investment Mike Novogratz was slammed in a tweet by Litquidity for using the Roe v. Wade decision to pump bitcoin (NYP)

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Deal Flow

M&A / Investments

• Frontier Airlines raised the cash portion of its offer to acquire Spirit Airlines to $4.13 per share, as Spirit shareholders prepare to vote on the deal come Thursday (CNBC)

• Dutch investment conglomerate Prosus and its parent holding company, Naspers, plan to sell more of their $136B stake in Chinese internet giant Tencent Holdings to finance a buyback program (RT)

• Crypto exchange FTX, led by Sam Bankman-Fried, is exploring the possibility of acquiring stock brokerage Robinhood (BBG)

• Investment firm Prosus sold nearly $4B worth of stock in Chinese e-commerce company JD.com (BBG)

• Siemens is is close to acquiring a minority stake in Volkswagen's US electric vehicle charge business, Electrify America, which would value the network at $2B+ (WSJ)

• Investment firm Primary Group is weighing a sale of UK home insurer Policy Expert that could fetch ~$1.2B (BBG)

• Real estate company Harrison Street purchased seven US student-housing properties from KKR for $725M (BBG)

VC

• Onpoint, a Vietnam-based e-commerce enabler, raised a $50M Series B led by SeaTown Private Capital Master Fund, a subsidiary of Temasek Holdings (PRN)

• Incredibuild, an Israeli games and software development platform, raised a $35M Series B led by Hiro Capital (TC)

• Cordio Medical, a speech processing platform, raised $18M in funding from Ceros Financial Services and Peregrine Ventures (PRN)

• Givebutter, a nonprofit fundraising platform, raised a $7M seed round from Ardent Venture Partners, Hyper, and others (PRN)

• Azuro, a DAO building a protocol for blockchain-based betting, raised $4M in funding from Hypersphere, Gnosis, Merit Circle, and others (CD)

IPO / Direct Listings / Issuances / Block Trades

• Chinese snackmaker Weilong Delicious will revive its Hong Kong IPO that is expected to raise ~$500M (BBG)

• Biotech startup Mirxes is weighing a Singapore IPO that could raise $300M and value the company at $1B (BBG)

• The CEO of Bahrain's sovereign wealth fund Mumtalakat Holding Company said that an IPO of exotic car manufacturer McLaren is a possible option (BBG)

• Swedish EV battery maker Northvolt is planning to go public within two years; it was most recently valued at ~$12B in the private markets (BBG)

SPAC

• Indian digital entertainment and technology company JetSynthesys is in talks to merge with BurTech Acquisition Corp. at a $700M+ valuation (BBG)

• All board directors of Digital World Acquisition Corp. received subpoenas from federal prosecutors over the company's merger plans with Trump's social media firm Truth Social (AX)

Fundraising

• Private equity firm Twin Bridge Capital Partners closed its fifth flagship fund with more than $880M in commitments (PRN)

Crypto Corner

• An increasing amount of hedge funds are betting against Tether, the world’s largest stablecoin (WSJ)

• Goldman Sachs has cut Coinbase’s rating from “neutral” to “sell” and slashed its price target from $70 to $45 (CD)

• Crypto hedge fund Three Arrows Capital has defaulted on a loan worth $670M+ (CNBC)

• CoinFLEX plans to raise missing funds with new token (BW)

Exec's Picks

• With FTX making moves to acquire every struggling brokerage/trading platform out there right now, we wanted to reshare the deep dive that we published on the company earlier this spring. Check out our FTX deep dive here.

• Tomorrow night at 7:00 PM EST, Peter Tuchman and David Greene are hosting a free risk and pain management webinar to teach traders how to navigate this volatile market. If you're a trader, you don't want to miss a chance to learn from two greats! Plus, it's free. Click here to sign up for the webinar!

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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