Moelis & Company

Moelis & Company
Public
Traded as NYSE: MC
Industry Financial Services
Founded 2007
Founder Kenneth D. Moelis
Headquarters 399 Park Avenue
New York, New York, United States
Products Investment banking
Revenue Increase $518.8 million (2014)[1]
Number of employees
 650
Website www.moelis.com

Moelis & Company is an American multinational investment bank that provides financial advisory services to corporations, governments and financial sponsors. The firm advises on strategic decisions such as mergers and acquisitions, recapitalizations and restructurings and other corporate finance matters.[2]

It was founded in 2007 and is headquartered in New York, with 17 offices in North and South America, Europe, the Middle East, Asia and Australia.[3] It has 650 employees including 450 investment bankers. Of the 100 managing directors, averaging more than 20 years of experience each, 66 are former sector and product heads.[2]

Business overview

Moelis provides strategic and financial advice, including on mergers, acquisitions, sales, divestitures and joint ventures.[4] The firm represents boards, management, creditors, buyers and investors of financially distressed companies[5] through processes including distressed M&A, recapitalizations and debt-for-equity swaps. Clients are also advised on public and private debt and equity offerings, and complex risk exposures.[6] The firm provides capital raising, secondary and other independent advisory services to private fund sponsors and limited partners.[7]

Moelis provides other miscellaneous advice, including acting as a defense advisor to boards responding to unsolicited proposals, or as expert witness in litigation and assists in commercial negotiations.[8] For instance, Moelis helped orchestrate Herbalife's defense campaign against activist Bill Ackman,[9] advised the State of Ohio regarding legalization of gaming,[10] advised Major League Soccer on the award of a new Los Angeles team,[11] and advised Bruce Power on amending its long-term power purchase agreement with Ontario IESO.[12]

The firm aims to emphasize quality of advice and "gang-tackle" by senior bankers, so employs a discretionary compensation structure rather than a commission-based structure.[8]

Global reach

Moelis operates from 17 offices globally across North and South America, Europe, the Middle East, Asia and Australia:[13]

China Beijing
United States Boston
United States Chicago
United Arab Emirates Dubai
Germany Frankfurt

Hong Kong Hong Kong
United States Houston
Japan Japan*
United Kingdom London
United States Los Angeles

Australia Melbourne
India Mumbai
United States New York
United States Palo Alto

France Paris
Brazil São Paulo
Australia Sydney
United States Washington D.C.

*Strategic Alliance with SMBC and SMBC Nikko

History

Moelis was founded in July 2007 by Ken Moelis and partners including Navid Mahmoodzadegan and Jeffrey Raich.[14] The firm opened in New York and Los Angeles, and became a top 10 ranked M&A advisor in the US in its first full year of operations,[15] advising on transactions such as Anheuser-Busch's $61.2 billion sale to InBev, Yahoo's defense from Microsoft's $44.6 billion unsolicited proposal, and Hilton Hotels' $26.5 billion sale to The Blackstone Group.[12]

In July 2008, Moelis opened its restructuring practice by hiring the co-heads of Jefferies' restructuring[16] and advising on the $22.2 billion reorganization of Delphi Automotive, and the $29.6 billion reorganization of AMR Corp and $17.0 billion merger with US Airways Group. Matthew Prest, the restructuring head of European corporate finance firm Close Brothers,[17][18] soon followed with his team to join Moelis in London.[19] Early European restructuring mandates included the £1.5 billion recapitalization of the Co-operative Bank and the €15.4 billion restructuring of Glitnir.[20] The firm also advised the Hellenic Financial Stability Fund on the €29.0 billion recapitalization of the Greek banking system.[12]

In June 2009 Mark Aedy joined Moelis as head of EMEA Investment Banking based in the London office.[21] Early mandates in Europe included advising Natixis on the £30.0 billion disposal of most of its complex credit derivative portfolio.[12] In August 2009 Moelis opened an office in Sydney, Australia, led by a team from JP Morgan.[22]

In March 2010, Andrew Pridham was appointed Head of Investment Banking for Australia, having been executive chairman of investment banking at JP Morgan Australia.[23] In Australia, Moelis have advised SABMiller on the A$11.7 billion acquisition of Fosters Group, advised a consortium including Deutsche Bank, KKR and Värde Partners on the A$8.2 billion acquisition of GE Capital Australia & New Zealand Consumer Finance, and advised Centro Properties on the A$4.3 billion restructuring and A$5.0 billion merger of Australian interests.[12]

The firm opened a Dubai office in January 2011[24] while advising the Government of Dubai on the $24.9 billion restructuring of its investment holding company, Dubai World.[12] The firm also expanded into Asia by opening a Hong Kong office.[25] In June 2011, the Global Advisory Board was formed with the appointment of five members.[26] The advisory chairman is Lord Charles Allen.[14] In January 2011, the firm advised Hugh Hefner on the buyout of Playboy Enterprises.[12]

In January 2012, Moelis announced a strategic alliance agreement with the second largest Japanese bank, SMBC and its subsidiary SMBC Nikko; SMBC also invested approximately $93 million in Moelis.[27] Together they have advised on significant cross-border M&A, including Osaka Securities Exchange's ¥278.4 billion combination with the Tokyo Stock Exchange, a deal led by Caroline Silver.

For 2013, Moelis entered India's top 10 M&A league tables with a 6% market share, overtaking established players such as Goldman Sachs and Rothschild in the first full year of operations.[28] The Indian office is headed by Manisha Girotra and focuses on cross-border M&A such as the $1.8 billion sale of Agila Specialties to Mylan.[29][30][31] In early 2013, Moelis advised Omnicom on the $35.1 billion merger with Publicis to form Publicis Omnicom; the deal was conspicuous due to the total absence of a bulge bracket investment bank (due to the lack of financing requirements) and being kept secret despite being highly transformative, with credit given to Moelis' Geoffrey Austin.[32][33]

In March 2014, the firm expanded into South America, opening an office in São Paulo, Brazil.[34] Soon after, Moelis advised Brazilian oil giant Petrobras on $127.0 billion in capital markets and debt markets strategies.[35] In April 2014, the firm completed its initial public offering and began trading on the New York Stock Exchange.[36] Moelis had advised on over $1 trillion in transactions by the time of its IPO.[37] Employees maintain ownership of the majority of the company.[8] In June 2014, Moelis established a private funds advisory business with four hires, including Dave Brown.[38]

In February 2015, the firm opened its Washington DC office, following the hire of Eric Cantor, former House Majority Leader, in September 2014.[39] It was reported in November 2015 that Cantor had helped the firm land an advisory role on Pfizer's $160.0 billion combination with Allergan, the largest healthcare deal ever and the largest deal of 2015.[40] Other notable deals in 2015 included advising the British government's UK Financial Investments on UK Asset Resolution's £13.0 billion sale of an asset portfolio to affiliates of Cerberus Capital Management, advising EMC Corporation on the $67.0 billion acquisition by Dell, and advising on Hutchison Whampoa's £10.3 billion acquisition of O2 UK.[12]

Prominent advisory mandates

A comprehensive list of disclosed transactions is available here

Notable employees

A list of current senior employees is available here

Recent awards

References

  1. ↑ "Moelis & Company to Announce Full Year and Fourth Quarter 2014 Financial Results and Host a Conference Call on February 5, 2015". moelis.com. Retrieved 8 October 2015.
  2. 1 2 Moelis & Company Overview Company Website
  3. ↑ Moelis & Company History Company Website
  4. ↑ "Mergers & Acquisitions". www.moelis.com. Retrieved 2015-12-13.
  5. ↑ "Recapitalization & Restructuring". www.moelis.com. Retrieved 2015-12-13.
  6. ↑ "Financial Institutions Advisory". www.moelis.com. Retrieved 2015-12-13.
  7. ↑ "Private Funds Advisory". www.moelis.com. Retrieved 2015-12-13.
  8. 1 2 3 "Document Contents". investors.moelis.com. Retrieved 2015-12-13.
  9. ↑ Burton, Katherine; Stanford, Duane D.; Paulden, Pierre. "Herbalife Turns Table on Ackman Meeting Pershing Clients". Bloomberg.com. Retrieved 2016-02-07.
  10. ↑ PRESS, HANNAH DREIER THE ASSOCIATED. "In some states, gaming industry consultants double as gambling regulators". Las Vegas Review-Journal. Retrieved 2016-02-07.
  11. ↑ "Major League Soccer Awards New Team to Los Angeles | PRESS BOX". pressbox.mlssoccer.com. Retrieved 2016-02-07.
  12. 1 2 3 4 5 6 7 8 "Moelis & Company Select Transactions". www.moelis.com. Retrieved 2016-02-07.
  13. ↑ "Offices". www.moelis.com. Retrieved 2015-11-20.
  14. 1 2 "Senior Leadership". www.moelis.com. Retrieved 2015-11-20.
  15. ↑ "History". www.moelis.com. Retrieved 2015-11-20.
  16. ↑ McCracken, Jeffrey. "Key Jefferies Hands Jumping to Moelis". Wall Street Journal. ISSN 0099-9660. Retrieved 2015-12-10.
  17. ↑ Mychasuk, Emiliya; Terazono, Emiko (2009-04-29). "Moelis debt man". Financial Times. ISSN 0307-1766. Retrieved 2015-12-10.
  18. ↑ "Moelis & Company Announces Matthew Prest and Charles Noel-Johnson to Join in Recapitalization & Restructuring". Reuters. 2009-04-29. Retrieved 2015-12-10.
  19. ↑ Mychasuk, Emiliya (2010-09-02). "Moelis circling". Financial Times. ISSN 0307-1766. Retrieved 2015-12-10.
  20. ↑ "Will Wall Street sink the Co-op?". Telegraph.co.uk. Retrieved 2016-02-07.
  21. ↑ "Press Release: Moelis & Company Announces Mark Aedy to Join as Head of Europe, Middle East and Africa Investment Banking". www.moelis.com. Retrieved 2015-12-20.
  22. ↑ "Press Release: Moelis & Company Opens Sydney Office; Expands to Australia". www.moelis.com. Retrieved 2015-12-20.
  23. ↑ "Press Release: Moelis & Company Announces Key Senior Hires in Australia". www.moelis.com. Retrieved 2015-12-20.
  24. ↑ "Press Release: Moelis & Company Opens Dubai Office; Expands to Middle East". www.moelis.com. Retrieved 2015-12-21.
  25. ↑ "Press Release: Moelis & Company Expands to Asia; Acquires Hong Kong-Based Asia Pacific Advisers". www.moelis.com. Retrieved 2015-12-21.
  26. ↑ "Press Release: Moelis & Company Appoints Herbert Henzler as a Senior Director of the Firm’s Global Advisory Board". www.moelis.com. Retrieved 2015-11-20.
  27. ↑ "Press Release: Enhanced Business and Capital Alliance between Moelis & Company, Sumitomo Mitsui Banking Corporation, and SMBC Nikko Securities Inc.". www.moelis.com. Retrieved 2015-12-22.
  28. ↑ "Moelis overtakes big boys of M&A bankers". Retrieved 2015-12-22.
  29. ↑ Machado, Kenan (2014-01-17). "A Q&A with Moelis’s India Chief on Deal-Making". WSJ Blogs - MoneyBeat. Retrieved 2016-02-07.
  30. ↑ McLain, Rajesh Roy And Sean. "India Approves Mylan's Acquisition of Drug Firm". Wall Street Journal. ISSN 0099-9660. Retrieved 2016-02-07.
  31. ↑ "Abraaj follows West Asia peers in chasing Indian assets". Retrieved 2016-02-07.
  32. ↑ "Moelis’s Geoffrey Austin Keeps an Advertising Megadeal under His Hat". www.institutionalinvestor.com. Retrieved 2016-02-14.
  33. ↑ Campbell, Matthew; Simmons, Jacqueline; Monks, Matthew. "Moelis, Rothschild Take Lead on Omnicom-Publicis Merger". Bloomberg.com. Retrieved 2016-02-14.
  34. ↑ "Moelis & Co opens Brazil unit as independent shops tap local M&A". Reuters., March 11, 2014
  35. ↑ "Recapitalization & Restructuring Select Transactions". www.moelis.com. Retrieved 2015-11-20.
  36. ↑ "Moelis & Company Form 8-K". sec.gov. Retrieved 8 October 2015.
  37. ↑ "High-profile boutique advisory firm Moelis files for IPO". Marketwatch. Retrieved 2016-02-14.
  38. ↑ "Moelis Creates Private Equity Fund-Raising Team by Hiring From a Rival". New York Times DealBook., June 16, 2014
  39. ↑ "Moelis’s Cantor to Seek Out Defense Clients in Washington". Bloomberg., February 24, 2015
  40. ↑ "Exclusive: Moelis clinches Pfizer advisory role with help from Eric Cantor - sources". Reuters. 2015-11-16. Retrieved 2015-11-20.
  41. 1 2 3 4 5 6 "Moelis & Company Overview" (PDF).
  42. ↑ "Press Release". www.moelis.com. Retrieved 2015-12-21.

External links

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