☕️ Skilled up

Good morning.

The Albanese government will pull out all the stops to lure talent to our shores under its incoming Migration Strategy, that aims to nurture innovation and stop Australia missing out on skilled workers to Canada, Britain, the US and Singapore.

While additional avenues for smaller companies (namely startups) to hire skilled migrants will be introduced, the minimum salary a temporary skilled migrant can earn will increase from $53k - $70k.

Goodbye tradies, hello techies.

🏆 LOI Subscriber #TBD

Market movers

Shares in Santos and Woodside diverged during trading Friday as they bore the news of a potential merge quite differently. The performance could indicate a touch of investor caution about a potential $80 billion LNG consolidation.

Beyond AFR’s discovery that Woodside and Santos were codenamed Max and Lewis during deal’s internal negotiations in a nod to the ever-broiling F1 feud, we’re yet to hear further details about the progress of the merger.

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The quick sync

• How Goldman Sachs, Citigroup, JPMorgan, and Barclays have been going after the $1 trillion climate market. (Bloomberg)

• Government debt hits $80 billion, overtaking the NDIS as the country’s fastest growing expense. (AFR)

• A December deal rush points to a blockbuster 2024, giving dealmakers a well deserved early Christmas present. (Capital Brief)

• French AI firm and OpenAI competitor, Mistral, valued at €2 billion in funding round led by Andreessen Horowitz. (Financial Times)

• EU reaches provisional agreement on landmark AI Act. (Reuters)

Trading floor

M&A

• Bendigo & Adelaide Bank begun its court campaign for a merger with Suncorp Group's banking business. (Capital Brief)

• Virtual data rooms for Woodside Energy and Santos have opened, signaling the beginning of the due diligence process for a potential merger. (AFR)

  • Morgan Stanley awaits Woodside sale, eyes $80bn Santos merger; Goldman Sachs seeks investor for Dorado. (The Australian)

• Advent Partners has completed the sale of Frosty Boy to Kent Corporation. (AFR)

• Multiple private equity firms, including Kohlberg Kravis Roberts, Pacific Equity Partners, EQT, and Partners Group, are reportedly expressing interest in acquiring control of Perpetual's assets. (The Australian)

• Morrow Sodali absorbs Domestique and Citadel-Magnus to expand service offerings and client base. (AFR)

• Tigerlily swimwear brand attracts three potential buyers amid the Deloitte sale. (The Australian)

• Final bids for Sara Lee sale are expected on January 19 with BGH Capital and PAG among potential bidders. (The Australian)

CAPITAL MARKETS

• Chemist Warehouse founders to retain board roles after backdoor listing with Sigma Healthcare, holding a market cap of $8bn. (AFR)

• Murray Cod Australia looks to international investors to build support for a $400 million water fund for ‘hi-growth land-based aquaculture’ in Australia. (AFR)

VC

• TPG’s Joel Thickins is chasing down over $1.5 billion for a new APAC fund targeting mid-cap consumer, technology/software and healthcare companies. (AFR)

• The government’s new Migration Plan will see startups backed by registered venture capital funds become eligible to sponsor foreign workers. (Capital Brief)

People moves

• Canaccord Genuity poaches five Morgan Stanley advisors to power its new Brisbane office. (AFR)

The watercooler