Daily Brief Australia: Bluescope Steel, AUB Group Limited, Fenix Resources and more

In today’s briefing:

Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (10 Nov)
CVC Joins EQT In Pursuit Of AUB Group (AUB AU)
Fenix Resources (FEX AU): Pullback With Iron Ore Prices And Attractive Entry Point

Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (10 Nov)

Context: This Insight follows up on previously highlighted relative value opportunities, using a statistical methodology based on mean-reversion to identify opportunities in paired securities.
Highlights: Currently 14 pair trade opportunities across four markets and five sectors persist.
Why read: Statistical analysis offers a unique perspective on relative value. Gain insights into actionable statistical pair trade opportunities and monitor performance of previously highlighted pairs.

On the 28th October 2025, AUB Group Limited (AUB AU), an insurance “matchmaker”, announced a NBIO, via a Scheme, from EQT at A$45/share, a ~40% premium to undisturbed.
The share price has consistently traded wide to terms, not just because of the transactions’ indicative nature; but EQT’s track record on progressing from indicative to firm is not optimum.
This morning AUB announced CVC was teaming up with EQT, at $45/share; and concurrently requested additional due diligence. This has been granted by AUB.

Fenix Resources (FEX AU) has pulled back 25% from its recent highs, as iron ore prices have fallen 6% from their highs, amid the Simandou project nearing completion.
Despite the negative sentiment, with steel mill margins hovering around -300 RMB/ton, we still see iron ore at 95-110 USD/ton, as China’s imports were a record in September.
We like Fenix Resources (FEX AU) and are pounding the table on the name. Read our recent update, Fenix Resources (FEX AU) Q1 FY26 Report: Multibagger In The Making

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network