What You Need To Know For March 28th, 2024

Formerly Known As The Rollup - Here's Our First Thursday Newsletter

Author

HY Harry
March 28, 2024

In partnership with

Welcome Back!

This is our first Thursday edition! To repeat Sunday’s message ICYMI - The Rollup is now The Wall Street Rollup.

We’re still growing, but we’re excited to get you guys some quick and informative content. If you have a moment, send our Newsletter to your friends, we’d really appreciate it 🤝 

The main story 📰

Cocoa Prices are going to the moon 🌕️ due to poor weather and disease in western Africa. Poor crops due to bean disease, bad farming weather and late, heavy rain have strained supply among key African cocoa farmers. Given the seasonality, and with a lot of farmers lacking the scale and infrastructure to increase supply, this imbalance is expected to continue.

Unfortunately, there’s no timeline on when this will resolve, so this could be a headwind for confectionaries for the foreseeable future. West Africa is usually 75% of cocoa supply, and it will take nations like Brazil and Ecuador a few years to increase supply by planting and ramping up production. While confectionaries have hedges in place through this year and next, eventually this could hurt profits. This may mean large chocolate companies like Hershey are going to hike prices further or lower portion sizes in order to deal with the costs. So while the rate of change in cocoa prices may cool, your sweet tooth should be expecting a pricier chocolate bar later this year.

Oh Sh*t You’re a Grown Up

Suddenly you’re being quizzed on things like 529 plans and backdoor Roth IRAs. It’s time to be responsible with your money. Advisor.com lets you compare expert financial advisors to make sure you are in good hands.

Headlines 🔍

Layoffs ⛈️ 

  • Citi is in their last phase of layoffs. They have laid off 5,000 workers since September

  • McKinsey is saying “Up or Out” to consultants

  • Dell laid off 13,000 employees last year

  • Canada Goose is laying off 17% of their workforce

  • Stellantis fired 400 workers last Friday, telling them to not come in so they could be fired remotely

Transactions 💭 

Alteryx, a software company that provides self-service data analytics software, was acquired for $6.4B by Insight Partners and Clearlake Capital Group. Qatalyst Partners advised on the sale.

Sovos Brands, a food company in the United States with brands such as Rao’s, and Noosa, was acquired for $2.7B by Campbell Soup (NYS: CPB). Centerview Partners and Jamieson Corporate Finance advised on the sale.

Fusion Pharmaceuticals (NAS: FUSN), a clinical-stage biopharmaceutical company, reached a definitive agreement to be acquired for CAD 2B by AstraZeneca (LON: AZN).

Benefit One (TKS: 2412), a Japanese company providing provisions of agency business for welfare work, reached a definitive agreement to be acquired for JPY 292.1B by Dai-Ichi Life Insurances (TKS: 8750). Morgan Stanley and Mitisubishi UFJ Securities Holdings advised on the sale.

BeautyNova, a manufacturer of professional hair care products, reached a definitive agreement to be acquired for EUR 330M by PAI Partners.

Noteworthy Chart 🧭

Best articles 📖

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Best of YouTube ⌚️

How Chinese EV BYD is Taking On Tesla - this was a very good 16 minute deep-dive video on Tesla facing increasing competition in China.

Meme Cleanser 😆 

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