Bells Toll for Nomura, JPM; Orange Hire up for grabs; Upstart Pollination nabs $130m valuation

Good evening,

We told you IOOF hadn’t lost its appetite for a big deal!

The company shocked shareholders, its advisers and staff with the $1.44 billion acquisition of MLC Wealth, and an equity raising that would just about double its number of shares on issue.

IOOF was out with the news – and the equity raising – on Monday, after Street Talk flagged its serious intent last week and revealed the deal on Sunday morning.

It was a big and ambitious play by the wealth management company, which has quickly carved itself a big piece of the financial advice and superannuation market as banks flee the sector.

It’ll be interesting to see what proportion of IOOF’s institutional shareholders back the rights issue on Tuesday, although we’re tipping most will follow their money, particularly given the $3.50 a share price (a 24 per cent discount to the last close) and non-renounceable structure.

Tonight, we reveal which banks will run the Toll Holdings carve-up for Japan Post, and take a look at a new equipment-hire deal.

And ex-Lazard Australia senior banker Tony O’Sullivan’s new outfit Pollination has closed a funding round and attracted a hefty valuation.

Happy reading,

Sarah Thompson, Anthony Macdonald and Tim Boyd
Street Talk Editors