☕️AI's Software Appetite

Good morning.

Could Appen’s 40% slide following Google’s decision to end its contract with the data service company be a sign of things to come? As big tech clients leverage AI to automate services - like those offered by Appen - a raft of tech companies could find themselves teetering on the brink of AI-induced redundancy.

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Market movers

Chalice Mining fell over 5% during trading Monday, after it announced drastic plans to cut its expenditure by 40% to cope with weak market conditions. The slide comes as resource ministers agree to meet with lithium and nickel miners for crisis talks, to discuss challenges facing the industry and try to inform government responses.

The quick sync

• Australian media companies may have copyright rules on their side when suing tech giants for content use by AI platforms. (Capital Brief)

• Apple seeks clarification from the government as to when the RBA will deploy new powers to create rules on bank access to its tap-and-go mobile payments. (AFR)

• Macquarie has raised €8b for its new European infrastructure fund, the largest such vehicle to exist that is solely focused on the continent. (Financial Times)  

• AI voice-cloning startup ElevenLabs reached a US$1.1b ($1.7b) valuation in funding round led by Andreesen Horowitz and Sequoia. (Bloomberg)

• Canadian ATCO is seeking a partner to help fund Central West Pumped Hydro project. (AFR)

• Wilson rackets and Saloman ski boots maker, Amer Sports Inc, is seeking to raise up to US$1.8b in one of 2024’s first major IPOs. (Bloomberg)

Trading floor

M&A

• La Française des Jeux (FDJ) has reportedly proposed a $2.5b acquisition of Kindred Group. (Wall Street Journal)

• Commonwealth Bank partners with Supply Nation for a new service benefiting Indigenous businesses. (BNA)

• Perseus Mining CEO claims superiority in $258m bid for OreCorp amid bidding war with Silvercorp Metals. (AFR)

Capital Markets

• Airtasker's shares surge 35% in mid-January, reaching an 11-month high of 30¢. (AFR)

• Zip inches closer to profitability with strong quarterly gains in earnings and customer numbers, attributed to its restructuring efforts. (Capital Brief)

• Citigroup's Australian executives reportedly face up to a 25% reduction in annual bonuses, continuing the trend of falling Wall Street bonuses. (AFR)

• Preferential shareholders to gain returns, while crowdfunding investors face an 87% loss in Forcite's share sale to GoPro. (BNA)

• Perth Radiological Clinic, owned by Allegro Funds, completed a refinancing deal late last year, securing support from major banks at a margin of 300bps to 400bps. (AFR)

• South32 shares declined by 2.6% to $3.15 after the mining company reduced its 2024 production guidance for copper and aluminium. (Capital Brief)

VC

• Australian deep-tech startup VAPAR has secured $5m in funding to support its expansion into the North American market. (Smart Company)

People moves

• PwC's corporate restructuring team is reportedly involved in addressing the challenges faced by Latitude Financial. (AFR)

• The Tech Council of Australia's founding CEO, Kate Pounder, will step down after three years, praised for establishing the group as a crucial industry body and elevating the tech sector's profile. (Startup Daily)

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