It's a wind down.
The Financial Times reports that Royal Bank of Scotland is winding down its mergers and acquisitions business after failing to secure a buyer for the division, which pulled in $436m in annual fees at its zenith six years ago.
The largely taxpayer-owned bank made most of its 40 or so M&A bankers redundant at the end of last year, two people close to the situation said, after attempts to spin off the unit failed amid one of the worst markets for dealmaking in decades.
In the meantime, Bloomberg also reports that Peter Bacon, Morgan Stanley’s head of capital markets in Europe, and Gene Martin, co-head of the leveraged and acquisition finance group, are leaving the firm, according to people briefed on the matter.
Bacon plans to pursue other opportunities, according to an internal memo from Raj Dhanda, Morgan Stanley’s head of global capital markets. A copy of the memo was obtained by Bloomberg News and the contents were confirmed by Morgan Stanley spokeswoman Mary Claire Delaney. Martin’s departure means Dan Toscano, hired as his co-head in April 2010, will run the group on his own, said two of the people, who asked not to be identified because the departures weren’t publicly announced.
The news organisation also reports that Gregory Peters, Morgan Stanley’s chief cross-asset strategist who warned in 2007 that mortgage losses risked causing a financial crisis, is leaving the firm.
His responsibilities will be taken on by the firm’s committee of global strategists and economists, according to an internal memo obtained by Bloomberg News. Lauren Bellmare, a spokeswoman for the New York-based bank, confirmed the contents of the memo. Peters probably will seek a job on the buy side, he said in an interview.
Finally, Reuters reports that Morgan Stanley Wealth Management said on Tuesday it had added two veteran adviser teams that managed a combined $750m in client assets from rival brokerage UBS Wealth Management Americas.
RBS to wind down M&A as sale called off (subscriber content)
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