Inflation is hot, the weather is cold

It's finally beginning to feel like mid-November weather in NYC. The banks are cranking, the deals are flowing, the inflation is inflating, and the Canadian Geese-clad financiers are out on the streets.

By Litquidity Capital Nov 15, 2021

Together with

The Motley Fool

Good morning,

It's finally beginning to feel like mid-November weather in NYC. The banks are cranking, the deals are flowing, the inflation is inflating, and the Canadian Geese-clad financiers are out on the streets.

We've got some exciting giveaways in the works, but want to remind y'all that there are only a few days left to enter the S*per B*wl tickets giveaway in partnership with Ansarada (y'all know what the *s are, we just can't say it because legal said so...). Link to enter here.

Let's dive in.

Before The Bell

As of 11/12/2021 market close.

Markets

  • Stocks closed up Friday, but major indexes still posted their first losing week in the last six largely due to the October CPI report showing the highest YoY inflation growth in the last three decades
  • On Friday, the University of Michigan reported that its consumer sentiment index hit a 10-year low
  • The Labor Department also reported that a record 4.4M workers quit their jobs in September, dubbed ‘The Great Resignation’
  • Investors will be keeping an eye on this Thursday’s retail sales report as well as earnings from major retailers

Earnings

What we’re watching this week:

  • Monday: Warner Music Group
  • Tuesday: Home Depot, Walmart
  • Wednesday: Bath & Body Works, Target, Lowe’s
  • Thursday: Alibaba, Farfetch, Macy’s

Full calendar here

Headline Roundup

  • Johnson & Johnson announced plans to create two new companies by splitting its consumer products business and pharmaceutical / medical device operations (CNBC
  • House Democrats try to combat intraparty friction to pass $2T social spending and climate package (WSJ)
  • China accuses the EU of threatening global trade (FT)
  • Covid cases on the rise in pockets of Upper Midwest, Southwest, and Northeast (WSJ)
  • Yellen says squashing Covid-19 is key to lowering inflation (BBG)
  • Morgan Stanley economists see 2023 Fed hike, differ with Gorman (BBG)
  • Airbus receives order for 255 jets in first major deal since Covid (CNBC)
  • SEC rejects VanEck’s bitcoin-backed ETF (CNBC)
  • China seeks to tighten cyber scrutiny on Hong Kong tech IPOs (FT)
  • Elizabeth Holmes offered to pay off a probing investor (BBG)

A Message From Motley Fool

Five Stocks Under $49 for 2021

We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true.

If you had invested in Amazon when we sent a “buy alert” at $15.31 per share, you’d be up 21,111%.*

Or if you had invested in Netflix when we recommended it at $1.85 per share, you’d be up 33,602%.*

And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share!

*Returns as of 10/14/21. Past performance is not a guarantee of future results.

Deal Flow

M&A

  • American Tower Corp. is in talks to buy data-center REIT CoreSite in a potential ~$10B deal (BBG)
  • CVC Capital Partners entered exclusive talks with Dutch financial services firm Intertrust after making a $1.9B purchase offer (BBG)
  • Sycamore Partners is considering selling Stag’s Leap Wine Cellars for ~$1B just one month after acquiring the label from Altria Group (BBG)
  • CVC Capital Partners is among investors considering joining the management of Razer in a potential deal to buy thee gaming peripherals maker and take it private (BBG)
  • Beijing-based developer Sunac plans to sell its culture and tourism business (BBG)
  • Miami-based investment firm CGI Merchant Group agreed to buy the rights to the Trump International Hotel in DC for $375M; it will be converted to a Waldorf Astoria managed by Hilton (WSJ)

VC

  • Oxygen, a neobanking startup aimed at SMBs and freelancers, is in talks to raise funding at a $500M+ valuation led by Tribe Ventures (TC)
  • Commercial RE tech platform Keyway raised a $15M seed round led by Canvas Ventures (PRN)
  • Electric motorcycle startup Zembo received a $3.4M investment from Mobility 54 Investment (TC)
  • Weflow, a startup striving to make updating Salesforce faster, raised a $2.7M pre-seed round led by Cherry Ventures (TC)
  • Promoted.ai, a startup building a tool to match buyers and sellers in marketplace search, raised a $2M seed round by giving equity to the founding team and raising from individual angel investors (TC

IPO / Direct Listings / Issuances / Block Trades

  • Fashion retailer Rue Gilt Groupe filed for an IPO, showing revenue growth (BBG)
  • Dubai Electricity & Water Authority (DEWA) invited banks to pitch for a role on their potential $25B IPO (BBG)

SPAC

  • Wynn Resorts terminated its plan to list its online-betting unit via a SPAC merger (BBG)

Bankruptcy

  • Airline Grupo Aeromexico received a proposal to emerge from bankruptcy by having lead lender Apollo convert some debt into equity (BBG)

Exec's Picks

  • Our boys at Finance|able just dropped a YUGE Hedge Fund guide. If you're aiming to work at a fund or want to learn how they operate, this is a must-read.
  • If you're into NFTs and need a newsletter to stay on top of the latest projects and upcoming drops, check out The Drop.
  • There is a DAO pooling capital to buy one of eleven surviving copies of the US Constitution at a Sotheby's public auction. Check out how to get in on the action here.
  • We partnered up with Ansarada to giveaway tickets to S*PER B*WL LVI in LA this Feb. Check out how to enterhere.

The Hiring Block

If you're looking to break into finance, lateral, or move out, check out our job board, where we curate highly relevant roles for you. We've got 80+ jobs spanning IB, S&T, VC, tech, private equity, DeFi, CorpDev and more. We sift through all the noise on LinkedIn, Indeed, Monster, etc. so you don't have to.

If you're looking to hire candidates and want to post a job, all you have to do is hit "+ Post a Job" on the top right of the job board.

Candidates: We've also partnered up with Portal Jobs for a more hands-on approach to matching talent with relevant jobs. Fill out the form here and we'll get to work on placing you in a relevant gig.

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