☕️ Afterpay Pain

Good morning.

It has been an eye-opening few weeks for Afterpay observers, who have learned not only that the brand is being retired by its owner, Block, in the US, but that its global expansion is faltering, and its integration into the Block ecosystem turned out to be nothing short of disastrous. We’re beginning to wonder whether anyone at all saw it coming.

After agreeing to the $39 billion acquisition of the buy-now-pay-later darling in 2022, it seems that Block certainly didn’t.

As Capital Brief reports, a former UBS tech analyst and early Afterpay sceptic believes that “Block may have walked away had they known the sh*tshow they had walked into.”

🏆 LOI Subscriber #TBD

Market movers

Shares in Neuren Pharmaceuticals plunged over 14% during trading yesterday to close at $19.15, after its US partner Acadia Pharmaceuticals reported its recently launched drug Daybue reached net sales of US$87.1 million ($133.4 million) in the fourth quarter. The sales results came in at the top end of its guidance. Earlier this month, Neuren shares tanked over 13% after US activist short-seller Culper Research published a report that said Acadia misrepresented the safety profile of Daybue. Neuren rebutted the claims.

The quick sync

• Guzman y Gomez seeks to crack US market before listing in the next 24 months. (The Australian)

• Payments fintech Stripe is set to reach a US$65b valuation, as it prepares a share sale for its employees to cash out more stock. (Stripe Press Release)(Capital Brief)

• 5B secures $50m US contract to build US customs-compliant manufacturing plant in India. (AFR)

• Chinese developer Country Garden has been hit by a winding up petition by a Hong Kong creditor, Ever Credit, citing non-payment of a US$204m loan facility. (Financial Times)

• Bitcoin has broken through the US$60,000 mark for the first time in over two years, inching closer to its all-time high of US$67,7000 in November 2021. (Reuters)

• BP will invest around US$1.5b in Egypt over the coming three to four years to develop gas projects and drilling. (Bloomberg)

Trading floor

M&A

• Houlihan Lokey seeks bids for New Wilkie Energy by March 22, aiming to revive the Surat Basin asset, with FTI Consulting involved in evaluating proposals. (AFR)

• Abu Dhabi Investment Authority sells its entire stake in Precinct Properties. (AFR)

• Southern Cross Media Group eyes strong results amid takeover interest. (The Australian)

• Record Point prepares for Snap Fitness auction. (AFR)

• Reliance Industries and Walt Disney merge India TV and streaming assets to create an $8.5b giant. (Capital Brief)

• Iress denies knowledge of takeover interest from PE suitors. (AFR)

• The Riverside Company is selling its road rehabilitation business, Hiway Group, back to its former owner Direct Capital. (AFR)

• Market is intrigued by Lendlease's future; no immediate changes to the construction arm. (The Australian)

Capital Markets

• Ora Banda Mining seeks $30m from investors at 22 cents per share, with brokers Canaccord Genuity and Euroz Hartleys leading the offer. (AFR)

• Bike Exchange intends to raise $3.17m before delisting from the stock exchange. (BNA)

• Ares Management to provide $450m funding to Pallas Capital. (AFR)

• EQT has secured €22b for its tenth flagship private equity fund, its largest-ever raise. (The Australian)

VC

• Bandicoot Imaging Sciences raises $1m for fabric digitisation tech. (Startup Daily)

• Tank Stream Labs launches AI Hub at Sydney Startup Hub. (Startup Daily)

People moves

• Ecofibre shareholders reject Alex Keach's board nomination. (BNA)

• Wall Street banks prep for job cuts amid quiet market. (The Australian)

The watercooler