📖 Your Q2 Earnings Guide: Discover the Stocks ProPicks AI Highlights to Jump Post-EarningsRead more

UPDATE 1-Lazard acquires boutique Verus to expand into Canadian advisory market

Published 2016-09-14, 02:54 p/m
© Reuters.  UPDATE 1-Lazard acquires boutique Verus to expand into Canadian advisory market

(Adds comments from executives)

By John Tilak

TORONTO, Sept 14 (Reuters) - Investment banking and asset management firm Lazard Ltd LAZ.N said on Wednesday that it had acquired Verus Partners, a boutique Canadian investment bank, to expand its financial advisory business into Canada.

The move comes as independent advisors have been commanding a growing share of the European and U.S. investment banking markets in recent years. Lazard has been seen as a pioneer of that trend.

Toronto-based Verus provides M&A and capital markets advisory across all major sectors. Verus Managing Partner Brian Hanson will be chairman and chief executive officer of Lazard's Canadian investment banking division.

"There's a lot of room for the independent model to grow in Canada," Hanson said. "We're just beginning to see the market share penetration of independent firms in Canada."

Lazard's strength across a number of industry sectors will help its expansion in Canada, Hanson said. "The sector expertise that Lazard has fits very well with the industry profile here in Canada."

Lazard has asset management offices in Toronto and Montreal.

Canadian cross-border deal activity has been robust, with Canadian companies and pension funds increasingly looking outside borders for expansion. They often turn to advisory firms with a global reach.

Lazard was ranked No. 3 for mergers and acquisitions advisory involving Canadian companies in the first half of 2016, according to Thomson Reuters data.

"We continue to see significant opportunities for growth throughout North America," said Alex Stern, chief executive of Lazard Financial Advisory. "Companies in the U.S. and Canada are increasingly seeking independent advice as they pursue strategic opportunities domestically and around the world."

Founded in 1848, Lazard has a presence in 27 countries. Its advisory business forms about half of total revenue. The company is headquartered in Bermuda and has its principal offices in New York.

Several global investment banks operate in Canada, including Goldman Sachs (NYSE:GS) GS.N , JPMorgan (NYSE:JPM) JPM.N , Barclays Plc BARC.L , Credit Suisse CSGN.S , UBS UBSG.S and Morgan Stanley (NYSE:MS).

Lazard will also be competing more closely with major Canadian banks such as Royal Bank of Canada RY.TO , Toronto Dominion Bank TD.TO , Bank of Nova Scotia BNS.TO , Bank of Montreal BMO.TO and Canadian Imperial Bank of Commerce CM.TO .

Other independent investment banks in Canada include Canaccord Genuity Group CF.TO , GMP Capital Inc GMP.TO , INFOR Financial Group and Origin Merchant Partners.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.