Good evening,

It’s a bit quiet out there in dealmaking land, but Street Talk’s been shaking some trees and found a little bit of everything tonight.

We have a big bank mulling a $1 billion-odd M&A deal, a private equity giant with a new Aussie investment, a capital raising due to launch on Tuesday and investment team changes at Australia’s most talked-about funds manager, Magellan.

Westpac’s the bank with the potential M&A deal, with its internal team calling in JPMorgan to help run the numbers on payment terminals business Tyro Payments.

Its interest is understood to be serious, with the group thinking about what a bigger terminals offering could do for its customers and whether there’s something special about Tyro worth buying.

To Street Talk, it looks like one of those deals that could’ve flown through last year, but everything’s a bit harder in 2022. Deals may make sense to the execs preparing them, but it’s hard to get boards and senior management over the line.

Elsewhere, watch for CBA’s newest hybrid on Tuesday, where we’re tipping a 2.8 per cent to 3 per cent margin, and we have a new style of investment from Canadian giant Brookfield.

Happy reading,
Anthony Macdonald, Sarah Thompson and Kanika Sood
Street Talk editors