City brokers Panmure Gordon and Liberum have proposed an all-share merger which, if completed, will create the UK’s largest independent investment bank.
The enlarged company, ‘Panmure Liberum’, will have over 250 quoted corporate clients with an average market cap of over £250m.
In a stock exchange announcement this morning (16 January), the boards of the two firms said the combination was ‘highly complementary’ with almost no overlap in corporate clients.
The merger will include financial services firm Atlas Merchant Capital, which is owned by Panmure Gordon.
Rich Ricci, CEO at Panmure Gordon, said: “Over the last three years we have doubled our corporate client base, made significant investment in talent and materially increased our share of the UK market across our trading and execution capabilities.
“In Panmure Liberum, we are combining two highly complementary and culturally aligned businesses and creating a new force in UK Investment Banking with an exciting long-term future. We have long admired the impressive track record that Liberum has built in its 16-year history, and we now look forward to building on that momentum together.”
Panmure Liberum will be chaired by Liberum executive director Shane Le Prevost, while Panmure Gordon CEO Rich Ricci will become chief executive of the enlarged firm.
Le Prevost said: “We have found a long-term partner with shared values and strategic ambitions to enable us to capitalise on the significant opportunities ahead and take both firms to the next level.
“Additionally, combining the financial strength of Atlas Merchant Capital with our culture of employee ownership is a highly compelling proposition. Both firms share an entrepreneurial approach that I am confident will attract and retain the best industry talent to ensure that we provide our clients with outstanding service throughout the cycle.”
Panmure Gordon offers capital raising, corporate advisory, broking and investor relations services.
The two firms also have research and sales capabilities with distribution to the UK, Europe and the US.