Week in Review: Citi, IPOs, and 30%

The Volcker Rule is creating ripples in the larger M&A markets. Earlier this week, Citi announced it was considering the sale of its $1 billion stake in a private equity firm to comply with the law. It is unlikely that many other banks will follow suit, especially since the rule may be modified in the coming months.

While the larger banks stress over the Volcker Rule, the smaller ones have been steadily earning new business and new fees. According to Thomson Reuters, “boutique and independent investment banks earned a combined 30% of fees for completed transactions” in 2013. The data supports the increasing proliferation of boutique banks. 

In other news, IPOs are still going strong and Swander Pace invests in Aden + Anais.

Opinions:

• House Financial Services Chairman to seek Volcker Rule change
• 10 economic surprises for 2014
• Last-minute deals add to wave of secondaries
• IPOs shine, but entrepreneurs turn down mergers
• Investment bankers anticipate uptick in IPOs in 2014
• To comply with Volcker Rule, banks look to sell PE stakes
• A banner year for boutique investment banks

Transactions:

• Brookside Mezzanine Partners invests in Naylor
• Becton Dickinson acquires Alverix, Inc
• Acacia Partners acquires Questco Companies
• Prospect backs Wellspring Capital’s recap of Crosman Corp
• Resilience Capital Partners buys direct sale business of G&K Services
• Swander Pace invests in Aden + Anais
• Altaris Capital Partners buys HealthTronics

Member Spotlight:

Tully & Holland, Inc. is pleased to announce it represented S&S Worldwide in its acquisition of the assets of a confidential, internet-marketing company. This is the fourth transaction in which Tully & Holland represented S&S Worldwide.

Tully & Holland is an investment bank established in 1992 devoted to providing middle market consumer product companies and industrial product manufacturers with high quality customized corporate finance and merger & acquisition advisory services. The firm has particular expertise representing multi-channel marketers, retailers, consumer product manufacturers and distributors and food & beverage companies.

Thanks to Northfoto / Shutterstock.com for the photo.