Company Overview • Investment bank founded in 1972; headquartered in Los Angeles • Main service include M&A, capital markets, restrurcturing M&A, financial advisory • FY’23 Total Revenue: $1.81B (6% decline) • Corporate Finance: 62.3% • Financial Restructring: 21.9% • Financial and Valuation Advisory: 15.8% • 5 “I” s (Intelligent, innovative, integrated, interactive, implementable) • Known for advising 12 of the 15 largest bankruptcies in the US • Main competitors: Stifel (Rev: $7.1b), Evercore (Rev: $2.8b) Environmental, Social, Governance (ESG) • Envrionmental: Earth Day 2022 in Los Angeles held events featuring energy companies and LA Department of Water & Power to learn about envrionmentally friendly practices and energy conservation • In London: sent digital flyers raising awareness about eco-friendly practices • Social: Give-A-Day programs that donated more than $8.5 million to healtcare workers, low-income students, and Ukrainian refugees over the past five years. • Impact driven solutions provide to companies involved in envrionmental services and conscious goods, food, etc • Goverance: Enterprise Risk Management that includes internal auditors and excutives team that work together to evaluate the effectiveness of the company’s policies and grograms Industry Overview: Capital Markets • Inflation rate: 7.1% as of Nov 2023 which results in elevated equity valuations • In the U.S., capital markets fuel the economy, providing 71.9% of equity and debt financing for non-financial corporations. • Bond rates are high, making a short-term investment plausible Investment Rationale (Houlihan Lokey vs PJT Partners)
