Apr 24, 2019
How M&A advisers stacked up in the first quarter
Half of the top investment banks advised on fewer deals in the first quarter than the prior year period, but the deals were bigger.
The big picture: Research from analytics firm GlobalData shows the usual suspects again topped the list of advisers on the biggest M&A deals in the first quarter, but it was their participation in just 2 deals that made the difference: Bristol-Myers Squibb's purchase of Celgene, and Saudia Aramco's deal to acquire a majority stake in Saudi petrochemical company SABIC.
- JP Morgan, Evercore, Morgan Stanley and Citi advised on the Bristol-Celgene deal, while Citi, JP Morgan and Morgan Stanley advised the Saudi-SABIC deal.
Between the lines: Advisers typically pocket M&A advisory fees that are based on the total transaction value.
- These fees aren't reflected in the banks' Q1 results since the deals haven't closed yet. But M&A advisory fees for Goldman Sachs, for example, helped offset sluggish trading revenues.
Go deeper: In 2019's M&A market, less is more