Barrenjoey’s $10m half | Ayers Rock Resort under review | Citadel’s $1.5b man

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Magellan’s new chief executive will hog the lead of every article on the investment manager’s half-year result, but every jealous rival was digging for an update on its moonshot investment: Barrenjoey Capital Partners.

Magellan holds a 36 per cent interest in Barrenjoey, a home-grown investment bank that has been nicking market share from established shops since it launched in 2020.

Latest figures show Magellan raised its carrying value for Barrenjoey by $3.7 million. Based on Magellan’s ownership share, this implies Barrenjoey turned a $10 million-plus profit over the half. Not bad considering the dearth of big-ticket transactions last year, and a data point it can use to silence the haters. There could also be some fresh M&A work coming their way with Magellan’s cashed-up chairman Andrew Formica flagging his hunger for a “small boutique”.

Magellan told shareholders Barrenjoey was in a “strong capital position” and delivered “record revenue over the half”, gaining 35 per cent. Revenue growth was recorded across all its business lines – corporate finance, equities, fixed income, research and private capital.

Things aren’t going as well for Magellan’s other investment, equities clearing firm FinClear, which endured an $869,000 carrying value write-down.

Read the full story tomorrow and more on the Street Talk page.

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