Good morning! Apollo and Blackstone are financing a $35B expansion of Anthropic's AI computing capacity using Broadcom's custom chips. Goldman Sachs' intern acceptance rate fell below 1% for the third straight year. And university endowments are set to cash in on the SpaceX IPO, with UNC, WashU, and Stanford among the big winners.

Bank of America is warning of "too many red flags" in stocks. Manhattan's office market is on pace for its best year since 2000, helped by AI tenants. And banks are cutting staff as AI comes for entry-level jobs and junior analysts.

Plus: SpaceX's IPO is oversubscribed many times over, and why owning your career beats climbing the ladder.

The Mosaic team continues to drop updates to enhance your workflow and modeling abilities. See their upgraded FactSet integration and take-private analysis.

SQUEEZ OF THE DAY

The $275M Drunken Haze

Matthew Constantino, founder of middle-market PE firm Delos Capital Management and a former Apollo partner, is being sued by his ex-COO Sanjay Sanghoee, who claims Constantino ran the firm in a "drunken haze."

The complaint is not subtle. It alleges heavy drinking, canceled investor calls, staff mistreatment, unpaid bonuses, and spiritual rambling in investor communications. It even claims Delos hired a retired surfer as Constantino's paid sober companion. And the near-death incident in the Dominican Republic that Constantino blamed on contaminated alcohol? Sanghoee says it was "sheer alcohol consumption." Delos denies all of it, calling the suit meritless and a personal attack.

Sanghoee is seeking at least $20 million, including carried interest he says he was owed from Delos' $275 million Fund II, where he claims he personally invested $900,000. He alleges Constantino's conduct actively sabotaged investor relations: showing up to events visibly intoxicated, barely coming into the office, and ordering staff to lie to LPs about his absences.

He also claims Delos withheld bonuses from multiple employees, including one allegedly promised Harvard Business School tuition. Delos counters that Sanghoee never had a written employment agreement, and that the comp he is seeking was never contractually promised.

Then there is the book. Constantino published a self-help title, Gratitude, Strength and Opportunity, built around daily journal entries and the same Dominican Republic near-death story at the center of the suit. Sanghoee alleges he embellished it with conspiracy theories and told people Ben Affleck and Christian Bale wanted to play him in a movie. Meanwhile, per the complaint, LPs asking about their capital were getting "bizarre and contextually inappropriate spiritual references" instead of IRRs and portfolio updates.

Takeaway: Who really knows what actually went down here. But the knives rarely come out until the money stops flowing. When a fund isn't returning capital, every grievance that got swallowed during the good years has a way of resurfacing as a lawsuit, and public infighting like this is a bad look for everyone involved: the founder, the COO suing him, and the LPs now reading about their fund's sober surfer in Bloomberg.

PRESENTED BY MOSAIC

Mosaic Introduces Major Upgrades to FactSet Integration and Take-Private Analysis

Mosaic continues to enhance its FactSet integration and take-private analysis capabilities, enabling users to automatically pull live share prices, broker targets, market data, and VWAP metrics directly into AVP outputs.

Teams can now incorporate premium-to-L3M and premium-to-L6M VWAP analyses with greater accuracy, while flexible line-item controls allow each VWAP metric to be toggled on or off to customize outputs.

These updates streamline valuation workflows, improve data accessibility, and provide deal teams with deeper insights and greater efficiency across the Mosaic platform.

Demo the platform today.

HEADLINES

Top Reads

• Broadcom, Apollo, Blackstone launch $35 billion AI infrastructure platform (WSJ)

• Goldman Sachs intern acceptance rate falls below 1% for 3rd straight year (YF)

• University endowments are about to strike it big on the SpaceX IPO (WSJ)

• Bank of America warns of 'too many red flags' in stocks (Axios)

• Manhattan's AI office boom echoes the red-hot expansion of the dot-com era (WSJ)

• Banks are making mass workforce cuts, and AI is coming for entry-level jobs and junior analysts (Fortune)

• SpaceX IPO draws orders for multiple times the shares available (BB)

• JPMorgan reportedly explores potential interest in Carlyle Global Credit (The Middle Market)

• SpaceX-Google compute deal raises eyebrows ahead of IPO (Yahoo Finance)

• The 'SaaSpocalypse' is over, says Thoma Bravo's Orlando Bravo, as he hails AI boom for software (CNBC)

• Property insurers are piling into private assets as other investors hit pause (WSJ)

• Global stocks fall as tech rout and war jitters roil trading (WSJ)

• SpaceX IPO risks feedback loop as index funds eye 30% of float (BB)

• SpaceX IPO highlights the catch in passive investing (Axios)

CAPITAL PULSE

Markets Rundown

Market Update

• Markets lower: Equity markets finished lower as weakness in technology stocks outweighed gains across most other sectors.

• Tech lags: The recent rebound in semiconductor and AI-related stocks lost momentum.

• Rates lower: The 10-year Treasury yield declined to 4.52%.

• Oil below $90: WTI crude fell below $90 per barrel amid optimism around a potential Strait of Hormuz agreement.

• Dollar weaker: The U.S. dollar softened against major currencies but remains broadly rangebound.

• Global markets: Asian markets were mixed overnight, while European equities moved lower.

Economic Data Highlights

• Labor market steady: Private employers added an average of 29,000 jobs per week over the latest four-week period.

• Hiring moderates: Job creation remains modest but consistent with a stable labor market and low unemployment.

• Employment mandate met: With unemployment at 4.3% and job openings exceeding the number of unemployed workers, labor conditions remain healthy.

• Fed focus: Policymakers are likely to remain focused on inflation rather than employment risks in the near term.

Movers & Shakers

• (+) DraftKings ($DKNG) +11% after an SEC filing revealed its Predictions offering hit $1.3B in annualized consumer volume in May, up 24% month-over-month.

• (+) J.M. Smucker ($SJM) +10% because the food and beverage company beat quarterly estimates, with Hostess and Uncrustables driving the upside.

• (–) SailPoint ($SAIL) -11% after Q2 guidance implied ARR growth decelerating to ~24% from 26% in Q1 and revenue growth slowing to ~17-18% from 22%.

Prediction Markets

• US Consumer Price Index comes out today around 8:30am EDT.

• Trade on real-world events with Kalshi. Use code OWS to get a $10 bonus when you trade $10.

Private Dealmaking

• GSK agreed to buy Nuvalent, a cancer drug developer, for $10.6 billion

• Iceye, a Finnish satellite startup, raised around $1.1 billion

• Firefly Bio, a biotech focused on protein degraders, was acquired by Johnson & Johnson for $1 billion

• Thoma Bravo agreed to acquire Kneat, a digital validation platform, for around $470 million

• NinjaOne, an IT management platform, raised $400 million

• Beacon, an AI holding company, raised $225 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

BOOK OF THE DAY

The Rules That Make Us

Description:
A fascinating exploration from Oliver Sweet of the invisible cultural rules that influence human behavior. The book examines how norms, traditions, and shared beliefs shape everything from consumer decisions and workplace dynamics to politics and personal identity. Drawing on psychology, sociology, and behavioral economics, it reveals how culture acts as an unseen operating system that guides what people value, trust, and ultimately choose.

Book Length: 320 pages
Release Date: May 5, 2026

Ideal For:
Marketers, business leaders, investors, and anyone interested in understanding how culture influences behavior, decision-making, and economic outcomes.

The most powerful rules in society are often the ones nobody realizes they are following.

DAILY VISUAL

Broadway is Back

PRESENTED BY DILIGENCESQUARED

Here’s a New AI Tool to Help With Your Work

It’s a platform called DiligenceSquared, an AI-native take on commercial due diligence. For those unfamiliar: typically, a private equity firm outsources its market research to a consulting firm that spends weeks on expert interviews and charges $500K to $1M for a 200-page report. Anyone who’s lived through it has three words for the process: expensive, slow, manual.

DiligenceSquared delivers the same diligence but 10x cheaper and faster. AI voice agents run expert interviews at scale, in any language, then compile everything into an interactive report where you can audit each claim and trace it to source in one click. There’s a human layer too, AI handles the junior-analyst work, while senior ex-MBB consultants oversee every project before it ships.

Built for PE, private credit, and corporates making M&A, market-entry, and pricing calls.

Want to see it run? Book a demo.

DAILY ACUMEN

Concentration Risk

Diversification is sold as the only free lunch in finance, and for protecting wealth, it is. But almost nobody built real wealth by diversifying. Fortunes are made through concentration, betting heavily on a small number of things you understand deeply, and then held through diversification once there is something to protect. The two strategies are not contradictory. They belong to different chapters of the same story.

The mistake is applying the wrong one to the wrong phase. The young person with little to lose and decades to recover hedges everything out of fear and wonders why they never pull ahead. The person who finally made it stays dangerously concentrated out of ego and watches it evaporate.

Knowing which game you are playing, building wealth or keeping it, determines which rule applies. Confusing the two is how people stay poor cautiously or get rich and then lose it all.

ENLIGHTENMENT

Short Squeez Picks

• 5 signs a leader on your team needs executive coaching

• The habits of leaders who avoid burnout

• Don’t sink your career before it starts

• 4 phrases that destroy trust in a relationship

• Owning your career matters more than climbing the ladder

MEME-A-PALOOZA

Memes of the Day

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