Mizuho Financial Group and Greenhill & co. announced a formal agreement under which Mizuho will acquire Greenhill in an all-cash transaction for $15 per share, representing a value of approximately $550m, including assumed debt.
Through this partnership, Mizuho will quicken the pace of its investment banking expansion strategy, building on Greenhill’s 27-year track record of advising major clients on mergers and acquisitions, reorganisations, and capital raising operations.
Following the transaction’s result, Greenhill will function as Mizuho’s mergers and acquisitions and restructuring consulting company from its 15 sites throughout the world.
The Greenhill brand will be maintained, and the current Greenhill leadership team will continue in place.
Scott L. Bok, chairman and CEO of Greenhill, will become chairman of the mergers and acquisitions and restructuring advising business.
Kevin Costantino and David Wyles, current Greenhill co-presidents, will take over as co-heads of the company.
Greenhill will be a part of Mizuho’s banking division, which Michal Katz, the region’s head of banking, will be in charge of.
“We are pleased to be announcing a transaction that provides significant benefits to each of our stakeholders—clients, employees, and stockholders. Our clients will continue to receive the same high-quality advice from the same team, operating under the same brand, overseen by the same management,’’ said Scott Bok, chairman & CEO, Greenhill.
As part of this deal, Mizuho will be welcoming Greenhill’s 370 employees as well as the considerable client relationships they have built around the world.
The goal of both management teams is to make the transition as seamless as possible for all clients and employees.
“We are thrilled to add one of the preeminent M&A firms globally to our platform, and we see meaningful synergies in the combination that will benefit all of our stakeholders,” Masahiro Kihara, president and group CEO of Mizuho Financial group, and Shuji Matsuura, chairman and CEO of Mizuho Americas, said in a joint statement.
‘’We look forward to making Greenhill’s M&A and restructuring capabilities available to our clients, and to offering our full range of solutions to Greenhill’s clients. The transaction represents an important strategic milestone, and we plan to continue to invest in the growth of our global banking franchise.”
Subject to Greenhill stockholder approval, necessary regulatory clearances, and other typical closing circumstances, the transaction is anticipated to close by the end of the year.