Latest / What the Flux / The $1 billion investment from a used car dealer | The ASX has a challenger | Paramount Skydance's $150 million acquisition

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The $1 billion investment from a used car dealer | The ASX has a challenger | Paramount Skydance's $150 million acquisition · What the Flux

• 0:05
  Speaker 1: This is what the Flux I'm brand, I'm justin and
• 0:07
  Speaker 1: it's Wednesday, the eighth of October.
• 0:09
  Speaker 2: Well, juzzy boy, Happy October to you and the family.
• 0:12
  Speaker 2: That's what all the bitcoiners have been saying after bitcoin
• 0:15
  Speaker 2: hit a fresh record of one hundred and twenty five
• 0:17
  Speaker 2: thousand US dollars per coin over the weekend. And it
• 0:20
  Speaker 2: seems like October is always an uppish month for bitcoin,
• 0:23
  Speaker 2: rising in nine of the last ten Octobers.
• 0:25
  Speaker 1: If you don't wind flux amm there have been five
• 0:27
  Speaker 1: consecutive months of gains on the ASX two hundred, but
• 0:30
  Speaker 1: September was a little bit different to climb by nearly
• 0:33
  Speaker 1: one percent. And in the Flex app, we take a
• 0:35
  Speaker 1: look at the four highest performing ASX two hundred stocks
• 0:38
  Speaker 1: in September twenty twenty five. Some very very interesting names
• 0:41
  Speaker 1: in there. So if you want to learn more about
• 0:43
  Speaker 1: the best performing stocks in September, make sure to download
• 0:45
  Speaker 1: the Flux app and check it out.
• 0:47
  Speaker 2: Three delicious stories today, Juzzy boy, let's do it for
• 0:49
  Speaker 2: our first eggers. Automotive, the ASX listed car retailer, has
• 0:54
  Speaker 2: invested one billion dollars into a Canadian car dealer as
• 0:57
  Speaker 2: it plans for global and domestic expand.
• 1:00
  Speaker 1: Revving their engines aggressively for growth. B Man so tell
• 1:03
  Speaker 1: us more so.
• 1:03
  Speaker 2: Eagers Automotive is the largest automotive retail company in Australia.
• 1:07
  Speaker 2: Found it all the way back in nineteen thirteen.
• 1:09
  Speaker 1: They handle all things car related. We'd be talking the
• 1:12
  Speaker 1: sale of newer news vehicles.
• 1:13
  Speaker 2: They provide servicing and parts.
• 1:15
  Speaker 1: They also handle financing and car insurance as well. Recently
• 1:18
  Speaker 1: it's business Easy Auto one two three achieved a record
• 1:21
  Speaker 1: half year performance from selling pre owned cars in Australia
• 1:24
  Speaker 1: and now.
• 1:24
  Speaker 2: Juzzy boy, Eagers has struck up its first major international deal.
• 1:28
  Speaker 1: Yep, we'd be talking a one billion dollar investment into
• 1:31
  Speaker 1: Canada One, which has grown into one of the largest
• 1:33
  Speaker 1: car dealership groups in Northern America. And with this new investment,
• 1:36
  Speaker 1: Eagers will have a sixty five percent majority steak in
• 1:39
  Speaker 1: Canada One and b Man. This positions the Eager crew
• 1:42
  Speaker 1: as a market leader in the car industry, both domestically
• 1:45
  Speaker 1: and abroad as well.
• 1:46
  Speaker 2: Yep, they're basically taking their easy Auto one to three
• 1:48
  Speaker 2: blueprint and slapping on some snow tires and exporting it
• 1:52
  Speaker 2: straight to the Great White North.
• 1:54
  Speaker 1: Yeah, so what is the key learning here.
• 1:55
  Speaker 2: Not every Aussie success story survives the long haul trip overseas.
• 2:00
  Speaker 1: Many ozzie companies try to bottle local success and sell
• 2:03
  Speaker 1: it globally.
• 2:03
  Speaker 2: Now Eggers is doing just that. They're taking the success
• 2:06
  Speaker 2: of easy Auto one two three that model, and they're
• 2:08
  Speaker 2: taking it abroad.
• 2:09
  Speaker 1: And be man. Easy one two three is dominated in
• 2:11
  Speaker 1: Australia's use cast set.
• 2:13
  Speaker 2: In the first half of this year, Easy Auto one
• 2:14
  Speaker 2: two three lifted profits by thirty three.
• 2:16
  Speaker 1: Percent and it's dominating with its yellow branding and its
• 2:19
  Speaker 1: best price guarantee.
• 2:21
  Speaker 2: But history shows that local magic doesn't always translate overseats.
• 2:24
  Speaker 1: I remember when Bunnings took its snags and its diy
• 2:27
  Speaker 1: empire to the UK.
• 2:28
  Speaker 2: I do and it just did not stick.
• 2:29
  Speaker 1: Nope, it did not stick. It caused a one billion
• 2:31
  Speaker 1: dollar right down for West Farmers, its owner.
• 2:33
  Speaker 2: Now for Eggers, the challenge will be proving its warehouse
• 2:36
  Speaker 2: style fixed price model can actually work in another country, and.
• 2:39
  Speaker 1: If it does, it's time to put pedal to the
• 2:41
  Speaker 1: metal on global expansion.
• 2:42
  Speaker 2: For our second story, the ASX is finally facing some
• 2:46
  Speaker 2: real competition as CBO Australia gets the green light to
• 2:50
  Speaker 2: list company.
• 2:51
  Speaker 1: Oh, the asx's monopoly might be cracking.
• 2:53
  Speaker 2: Be Man, so tell me what all right, Josep, Wait
• 2:55
  Speaker 2: to take you back to twenty eleven when you were
• 2:57
  Speaker 2: obsessed with LMFAO. You wouldn't stop talking about it omfo
• 3:00
  Speaker 2: all year?
• 3:01
  Speaker 1: Did love party rock at them ever? Got a selfie
• 3:03
  Speaker 1: with red Food. It was the same year that chai
• 3:05
  Speaker 1: X launched as a rival trading platform to the ASEX.
• 3:08
  Speaker 2: In twenty twenty one, chai X was acquired by Cibo
• 3:10
  Speaker 2: Global Markets and became CEBO Australia.
• 3:13
  Speaker 1: But be Man. Until now, Cebo Australia could only host
• 3:16
  Speaker 1: exchange traded funds or ETFs.
• 3:18
  Speaker 2: But now ASEK has just approved Cibo to start listing
• 3:21
  Speaker 2: companies too.
• 3:22
  Speaker 1: That means businesses will have another option when going public
• 3:25
  Speaker 1: in Australia.
• 3:25
  Speaker 2: And does it boy, Well, this is good news for
• 3:27
  Speaker 2: CEBO and companies looking to list. It's bad news for
• 3:29
  Speaker 2: the ASX.
• 3:30
  Speaker 1: Which is both a market operator but also a public
• 3:33
  Speaker 1: company listed on You guested the ASX very metah next minute,
• 3:38
  Speaker 1: the asx's share price fell over two percent.
• 3:40
  Speaker 2: Because the ASEX has been through the ringer over the
• 3:42
  Speaker 2: past few years and its new rival wants to pounce,
• 3:45
  Speaker 2: So true, So what is the key learning year? Even
• 3:48
  Speaker 2: the strongest monopolies can lose dominance when they don't have
• 3:50
  Speaker 2: competition to drive them forward. For decades, the AX has
• 3:54
  Speaker 2: been the only stage in town for ozzie companies looking
• 3:56
  Speaker 2: to list and trade, clear and settle. But it's dominant
• 4:00
  Speaker 2: and a few high profile tech disasters have left the
• 4:03
  Speaker 2: door wide open for a challenger.
• 4:05
  Speaker 1: Of course, b Man. There was their failed blockchain chess upgrade,
• 4:08
  Speaker 1: which is now estimated to cost two hundred million dollars
• 4:10
  Speaker 1: more for the ASEX than initially planned.
• 4:12
  Speaker 2: There was a major outage in late twenty twenty four, and.
• 4:15
  Speaker 1: In August Assex sued the ASEX for misleading statements.
• 4:18
  Speaker 2: And also in August, the Assex mistook TPG Private Equity
• 4:21
  Speaker 2: for TBG Telecom in a company announcement and that really
• 4:25
  Speaker 2: through investors.
• 4:26
  Speaker 1: Yeah so now, b Man Cibo's entry could cause a
• 4:29
  Speaker 1: wave of change to the public markets in Australia.
• 4:31
  Speaker 2: And ASSE is hoping that this approval would create a
• 4:34
  Speaker 2: healthy rivalry that keeps the AX accountable.
• 4:36
  Speaker 1: And pushes the whole market forward.
• 4:38
  Speaker 2: For our third and final story, Paramount Skydance has made
• 4:42
  Speaker 2: its first major acquisition since its own merger, acquiring The
• 4:46
  Speaker 2: Free Press for one hundred and fifty million US dollars.
• 4:49
  Speaker 1: Paramount skuidants making moves under its new boss. So what
• 4:51
  Speaker 1: is going on here? So?
• 4:52
  Speaker 2: The founder of the Free Press, Barry Weese, is a
• 4:54
  Speaker 2: US journalist who rose to fame the New York Times.
• 4:57
  Speaker 1: Then she quit in twenty twenty because she didn't like
• 4:59
  Speaker 1: where the New York Times as headed.
• 5:00
  Speaker 2: She launched the Free Press from her living room in
• 5:02
  Speaker 2: twenty twenty one, and it has grown rapidly.
• 5:05
  Speaker 1: We'd be talking one and a half million subscribers on
• 5:07
  Speaker 1: substack and now Paramount Skydance, the new merged company, has
• 5:11
  Speaker 1: announced plans to buy The Free Press for one hundred
• 5:13
  Speaker 1: and fifty million US dollar dues and be man at.
• 5:15
  Speaker 1: The Free Press will sit under CBS, which is Paramount
• 5:18
  Speaker 1: Skydancer's mass media company founded way back in nineteen twenty.
• 5:21
  Speaker 2: Seven and Juzzy Boy. While the Free Press is at
• 5:23
  Speaker 2: one point five million subscribers is not huge, it has
• 5:26
  Speaker 2: one hundred and seventy five thousand paying subscribers and twenty million.
• 5:30
  Speaker 1: US dollars in annual revenue, and that is pretty pretty
• 5:33
  Speaker 1: good for a newsletter that has been delivered on Substack
• 5:35
  Speaker 1: and an Instagram page. Very true, So what is the
• 5:38
  Speaker 1: key learning here?
• 5:39
  Speaker 2: These days a handful of creators can rival broadcast newsrooms
• 5:43
  Speaker 2: that really took a century to build.
• 5:44
  Speaker 1: Platforms like Substack and Patreon and YouTube have lipped the
• 5:48
  Speaker 1: traditional media playbook. Yep.
• 5:49
  Speaker 2: They've allowed small and focused teams to build personal connections
• 5:53
  Speaker 2: with their audience and.
• 5:54
  Speaker 1: Generate subscription revenue. As opposed to.
• 5:56
  Speaker 2: Add juzzyboy, The Free Press has been able to successfully
• 5:59
  Speaker 2: convert a huge chunk of its audience.
• 6:01
  Speaker 1: According to Special All Media, the typical conversion rate of
• 6:04
  Speaker 1: a media publisher from free subscriber to paid subscriber sits
• 6:07
  Speaker 1: between zero point five percent and two percent.
• 6:09
  Speaker 2: In comparison, the Free Press is converting over eleven percent
• 6:13
  Speaker 2: of their audience into plants subscribers.
• 6:14
  Speaker 1: And that's why big players are now buying into creator
• 6:17
  Speaker 1: lead brands.
• 6:18
  Speaker 2: It's not for their infrastructure, of which there is.
• 6:20
  Speaker 1: In March, It's for their influence and connection to their community.
• 6:23
  Speaker 2: The big challenge is scaling the business under corporate ownership.
• 6:26
  Speaker 1: Yep, and only time will tell whether this still works
• 6:28
  Speaker 1: for both The Free Press and paramount skuidars b Man,
• 6:31
  Speaker 1: Did you know that there is an Australian listed company
• 6:33
  Speaker 1: that had a forty one percent jump in a share
• 6:36
  Speaker 1: price on the AX last month. Wow yep. It's an
• 6:39
  Speaker 1: Australian defense company and it has absolutely boomed after during
• 6:43
  Speaker 1: some major contracts a flux Dan. If you want to
• 6:45
  Speaker 1: see the massive jumps in the ASX two hundred, they
• 6:47
  Speaker 1: shure to download the Flux out and check out our
• 6:49
  Speaker 1: article on the best performing companies in September.
• 6:51
  Speaker 2: Thanks for listening and we'll see you on for write Ay.