Boutique deal-making adviser Evercore (EVR.N) accelerated its campaign to become a significant force in Europe, the world's second largest pool of M&A fees, with a purchase last week that locks in talent ahead of a possible upturn in activity.
Bankers forecast a return of mega-deals following a lull in corporate deal-making linked to the uncertainty surrounding U.S. tariffs. In Europe, increased defence spending has raised the prospect of deal-making in the sector and lower interest rates could also spur activity, analysts have said.
Founded in 1995 by former deputy secretary of the U.S. Treasury Roger Altman, Evercore last week bought UK advisory firm Robey Warshaw for $196 million, following senior hires in France and Italy in the last two years.
Although relatively small, Robey Warshaw has advised on some of the biggest deals of the last decade in Britain, including the sale of BG Group to Shell (SHEL.L), Comcast’s takeover of Sky, and Softbank’s (9434.T) acquisition of Arm.
Evercore said the deal, which is expected to close at the beginning of the fourth quarter of 2025, would increase its standing in Britain and open up opportunities across Europe, the Middle East and Africa.
The acquisition means Evercore will have more than 400 bankers across nine countries in the region.
"EMEA is the focal point of our global expansion strategy,” Matthew Lindsey-Clarke, co-head of Evercore’s EMEA Investment Banking business, told Reuters. "This move greatly enhances our capabilities in the UK and Europe, opening up new client opportunities in a region where we have been building up a significant presence in recent years."
He said it would bolster Evercore's access to British boardrooms and the ability to work for large cap companies across the EMEA region.
THE WORLD'S BIGGEST SOURCE OF M&A FEES
Until now, Evercore's strength has been in the world's biggest source of M&A business, the United States.
Evercore ranks eighth globally for M&A financial advice with a 9.7% market share, according to LSEG data.
Its highest global placing was in the years 2019 and 2023 when it took sixth place, although it has achieved a top 10 position in this table every year since 2015.
In Europe, Evercore has grown its share of the market over the last decade and has ranked in the top 20 in terms of deals advisory since 2018, according to LSEG data. It climbed to a high of eighth in deals advisory ranking last year.
But it faces stiff competition.
Other boutique advisers, including PJT Partners (PJT.N) and PWP (PWP.O), have also made individual senior hires from rivals in Europe.
Banks have scooped up advisory firms. In 2023, Mizuho Financial Group bought Greenhill for $550 million and Mediobanca purchased London-based Arma Partners for an undisclosed amount.
The United States' largest banks, including JP Morgan and Citi, over the last two years have hired aggressively globally. In April, JP Morgan said it had added more than 300 bankers across its global banking unit since the start of 2024.
ALL ABOUT TALENT
While Evercore has to be realistic about its size, it can focus on trying to get the best talent.
"You’re not going to compete against Goldman on the back of your balance sheet or your IPO underwriting capabilities of which you have none," Paul-Noël Guély, founder and managing partner of Arma Partners, which has around 135 staff globally, told Reuters.
"You’re going to be thinking I want the best bankers. And Robey Warshaw has five partners all of them extremely talented, very high-quality guys. That’s exactly who Evercore want to bring on board."
Founded in 2013 by veteran dealmakers Simon Robey, Simon Warshaw and Philip Apostolides, Robey Warshaw's 18 employees generated revenue of 85.8 million pounds ($113.50 million) last year, according to its latest accounts.
"[Evercore] are adding the talent of Robey [Warshaw,] just in time for another surge in deals," said investor Macrae Sykes of Gabelli Funds, which has stakes in PJT and Moelis & Co (MC.N). "We see pipelines are strong, and the outlook is getting better."
Evercore is also doing its best to hold on to its new hires after banks have been vocal about the increased costs of retaining talent.
Robey Warshaw's partners will be given incentives to stay at Evercore with payments of stock and cash over six years, according to regulatory filings.
The deal has also been set up with an initial payment of Evercore stock at closing and a second payment in stock or cash at the one-year anniversary of the deal.
Charles Talbot, managing director at headhunting firm Wyndham Partners, said there was an emerging trend in which deals advisory firms were seeking increased time commitments from their senior hires.
"We have worked on MD hires where clients are asking for a five-year clawback on make-whole, sign-on and guarantee bonus payments," he said.
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