Latest / What the Flux / Mayne Pharma's new battle | Ray-Ban smart glasses are all the rage | Nestlé cuts 16,000 jobs

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Mayne Pharma's new battle | Ray-Ban smart glasses are all the rage | Nestlé cuts 16,000 jobs · What the Flux

• 0:05
  Speaker 1: This is what the Flux I'm bread and I'm.
• 0:07
  Speaker 2: Just then next mondayd twenty October does.
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  Speaker 3: A couple of weeks ago, Deloitte Australia admitted that AI
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  Speaker 3: had been used in the creation of a four hundred
• 0:15
  Speaker 3: and forty thousand dollars report for the federal government and
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  Speaker 3: it was full of non existent academic references thanks to
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  Speaker 3: AI hallucinations.
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  Speaker 1: But after further digging, there are even more.
• 0:25
  Speaker 3: Citation errors and it's fir to say that Deloitte is
• 0:27
  Speaker 3: in full damage control.
• 0:29
  Speaker 2: Foxam. Have you ever wondered how long it will take
• 0:31
  Speaker 2: you to double your money that you've invested? Well, the
• 0:34
  Speaker 2: rule of seventy two is a formula. It helps you
• 0:36
  Speaker 2: quickly figure out the number of years it might take.
• 0:38
  Speaker 2: We break it down in the Flux apps. If you
• 0:40
  Speaker 2: want to learn more about the Rule of seventy two,
• 0:42
  Speaker 2: make sure to download the Flux app and check it out.
• 0:44
  Speaker 1: Three informative stories today.
• 0:46
  Speaker 3: JUSI boy, let's do it for our first ASX listed
• 0:50
  Speaker 3: main farmer so it shares spike fourteen percent after a
• 0:53
  Speaker 3: court ruled that its acquirer cannot terminate it's six hundred
• 0:57
  Speaker 3: and seventy two million dollar acquisition offer.
• 1:00
  Speaker 2: Man Maine desperately needed to win. It's been a rough
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  Speaker 2: couple of years for them. So tell me what's going
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  Speaker 2: on here.
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  Speaker 3: So Main Farmer Group is the ASX listed company that
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  Speaker 3: sells a whole range of pharmaceutical products across Australia and
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  Speaker 3: the US.
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  Speaker 2: We'd be talking birth control, menopause and dermatology products and
• 1:15
  Speaker 2: Josie Waite.
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  Speaker 3: Back in feb this year, a US pharmaceutical company named
• 1:20
  Speaker 3: Cosette sent a takeover bid to Maine for six hundred
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  Speaker 3: and seventy two million bucks.
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  Speaker 2: Which was a thirty seven percent premium to Main's closing
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  Speaker 2: price pre offer.
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  Speaker 3: Fast forward to now and Cosett's trying to walk away
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  Speaker 3: from the deal, claiming there's been a material adverse change
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  Speaker 3: since their offer.
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  Speaker 2: In other words, there was a change in Main's financial
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  Speaker 2: performance and they wanted out. Maine took this termination to
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  Speaker 2: the courts and the court ruled the Cosette cannot terminate
• 1:44
  Speaker 2: the six hundred and seventy two million dollar takeover of
• 1:46
  Speaker 2: Maine Farmer, and then Main shares jumped fourteen percent, but
• 1:49
  Speaker 2: they made there is one small hurdle to still overcome,
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  Speaker 2: and that is that is the Foreign Investment Review Board.
• 1:56
  Speaker 1: Oh yes, So what is the key learning here?
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  Speaker 2: The Foreign Investment Review Board or FIRM is Australia's gate
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  Speaker 2: keeper for overseas takeovers.
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  Speaker 3: It reviews major foreign bids to ensure they're in the
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  Speaker 3: national interest, and it.
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  Speaker 2: Covers everything from security concerns to competition to tax employment.
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  Speaker 3: Now, for deals involving critical infrastructure or key industries like defense,
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  Speaker 3: or energy or healthcare, verb's approval is essential.
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  Speaker 2: And they maned. This wouldn't be the first deal to
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  Speaker 2: be potentially scrapped by ERB if they decide to do so.
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  Speaker 3: Now, remember when Osgreed, in New South Wales's largest electricity distributor,
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  Speaker 3: tried to sell to Chinese investors in twenty sixteen.
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  Speaker 2: I do it was a ten billion dollar deal, but
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  Speaker 2: the Treasurer at the time SCOBO block the bid on
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  Speaker 2: security grounds.
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  Speaker 3: So Cosette will be hoping and praying that FERB block
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  Speaker 3: this deal because it's another way for them to squirm
• 2:43
  Speaker 3: their way out of it.
• 2:44
  Speaker 2: For our second story, ray band maker Essela Lexotica has
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  Speaker 2: just hit record sales as smart glasses go from nerdy
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  Speaker 2: to kind of need one.
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  Speaker 3: Right now we've hit almost full blown need one. Now
• 2:56
  Speaker 3: alert Jazzy Boy tell me what's going on here.
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  Speaker 2: Esila Lexotica is the French Italian I wear behemoth, behind
• 3:02
  Speaker 2: brands like ray Ban and Oakley.
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  Speaker 3: But also brands like Persol, Oliver, People, Vogue, I Wear
• 3:08
  Speaker 3: and Get This be Man Eslo.
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  Speaker 2: Luxotical also makes lenses for over one billion people globally
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  Speaker 2: every single year.
• 3:14
  Speaker 1: Now.
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  Speaker 3: In the September quarter of this year, It's law Luxotica's
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  Speaker 3: revenue jumped almost twelve percent year on year to just
• 3:20
  Speaker 3: under seven billion euros and this is their.
• 3:22
  Speaker 2: Best quarterly result in history. But what was the reason. Well,
• 3:25
  Speaker 2: sales in North America increased by twelve percent thanks to
• 3:29
  Speaker 2: demand for the AI powered ray Ban Meta smart classes
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  Speaker 2: and so much demand b Man that their CFO said
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  Speaker 2: they have plans as fast track building ten million more
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  Speaker 2: units of the wearable tech to meet the booming demand.
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  Speaker 2: And juzboy, I gotta be honest, I did not see
• 3:44
  Speaker 2: these ones taken off, but it seems like there actually
• 3:47
  Speaker 2: is demand yep. So what is the key learning here?
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  Speaker 3: Every breakthrough product hits a tipping point, that moment when
• 3:53
  Speaker 3: it shifts from being a cool niche novelty to a
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  Speaker 3: need to have yep.
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  Speaker 2: For smart classes, it seems like that moment might becoming.
• 4:01
  Speaker 2: Remember when Google released the Google Glass in twenty thirteen,
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  Speaker 2: do I ever, they were very expensive, We're talking fifteen
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  Speaker 2: hundred US dollars back then.
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  Speaker 1: They were also supposedly poorly designed.
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  Speaker 2: And there were a heap of concerns around privacy chuck.
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  Speaker 3: On top of that, people call them a cool aesthetic
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  Speaker 3: for dorks.
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  Speaker 2: So when Google Glass was shut down in twenty fifteen,
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  Speaker 2: it did cost Google eight hundred and ninety five million
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  Speaker 2: US dollars in investments.
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  Speaker 3: And then for years, wearables were stuck in novelty territory.
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  Speaker 2: But be man, when tech stops feeling experimental and start
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  Speaker 2: solving genuine problems, it can actually start to become valuable again,
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  Speaker 2: like hands free messaging or live translation, which are both
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  Speaker 2: in the ray Band Meta smart glasses. So for Meta
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  Speaker 2: and ray Ban, they're hoping these glasses become as critical
• 4:42
  Speaker 2: as your phone oil laptop very soon.
• 4:45
  Speaker 3: For our third and final story, Nesle's new CEO is
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  Speaker 3: cutting sixteen thousand jobs as the company looks to trim
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  Speaker 3: costs while also speeding up growth.
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  Speaker 2: Cutting jobs and speeding up growth at the same time, Bman,
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  Speaker 2: that would be miraculous if he pulls it off, So
• 4:58
  Speaker 2: tell me more, all right.
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  Speaker 3: So, Nesle is the world's largest food and beverage company, behind.
• 5:02
  Speaker 2: Brand like kickat nes Cafe, Purina, hargandhaz Espresso.
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  Speaker 3: Fun fact, Nesle owns over two thousand brands globally and
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  Speaker 3: sells in one hundred and eighty eight countries.
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  Speaker 2: That is almost every nation on this earth. Yep, But
• 5:14
  Speaker 2: Josey boy Nesli has now announced it's going to cut
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  Speaker 2: sixteen thousand jobs, or about six percent of its global
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  Speaker 2: workforce over the next two years. It all happened because
• 5:23
  Speaker 2: Nesle and its investors panic when its sales dip nearly
• 5:26
  Speaker 2: two percent to sixty five point nine billion francs.
• 5:29
  Speaker 3: So Nesle plans to save three billion Swiss francs by
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  Speaker 3: twenty twenty seven and also boost innovation.
• 5:35
  Speaker 2: Whatever innovation actually means.
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  Speaker 1: All part of the new CEO's grand plans for the future.
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  Speaker 2: So what is the key learning here?
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  Speaker 3: A brand new CEO often means a company wide reboot.
• 5:46
  Speaker 2: It's the corporate version of new year New mea uh huh.
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  Speaker 3: When a new leader steps in, it's common to see
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  Speaker 3: a whole lot of unsettling activity across the business.
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  Speaker 2: It might be strategy resets. It might be restructuring, and
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  Speaker 2: of course it also is oftencuts and juba in your
• 6:01
  Speaker 2: infinite wisdom. Why does it often happen this way? Well,
• 6:04
  Speaker 2: new CEOs want to signal that they're making changes fast,
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  Speaker 2: both to the market and to their teams.
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  Speaker 3: So by cutting costs and reshaping priorities, it sends a
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  Speaker 3: message that they're serious about turning things around and.
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  Speaker 2: The man, it also gives them an opportunity to blame
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  Speaker 2: old decisions on the previous regime.
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  Speaker 3: And we've also seen this recently here in Australia with
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  Speaker 3: an Z's new CEO coming into the role.
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  Speaker 2: Yep, he's cut three and a half thousand full time
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  Speaker 2: roles within the A and Z business, as well as
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  Speaker 2: a thousand consultants.
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  Speaker 3: So Josey Boy four Nesle's new CEO. The first step
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  Speaker 3: to growth is getting smaller.
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  Speaker 2: And clearly the market liked what it hurt because Neslei
• 6:36
  Speaker 2: shares jumped eight percent on the news The Man. I
• 6:39
  Speaker 2: don't claim to have developed the formula for the rule
• 6:41
  Speaker 2: of seventy two, but I do claim to use it.
• 6:43
  Speaker 2: It is one of the great ways to help quickly
• 6:45
  Speaker 2: figure out the number of US. It takes to double
• 6:48
  Speaker 2: your investment money, so make sure to download the Flux
• 6:50
  Speaker 2: app and check out our latest article.
• 6:52
  Speaker 1: Thanks for listening and we'll see you on Wednesday.