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May 2000

Matthias Mosler


Co-head of equity capital markets for Europe, Africa and Middle East, Merrill Lynch




       
Matthias Mosler
In 1988 Matthias Mosler, then a rising star in the investment banking division of Deutsche Bank, was chosen to become personal assistant to Alfred Herrhausen, the charismatic chief executive of Deutsche Bank and president of Daimler-Benz. Herrhausen was also a politician, and was seen as the most powerful person in Germany. Helping to run the great man's office and to act as a sounding board for his ideas for changing Deutsche Bank seemed a golden opportunity for the young Mosler.
One morning in 1989 Mosler was waiting for Herrhausen in the offices of Deutsche Bank when a bodyguard phoned to say that his boss's car had been blown up, and he had died. The device was the work of the Red Army Faction.
Given this shock, Mosler's career might well have faltered, but it has continued to prosper. Last year he took Goldman Sachs to the top of the league in German equities and he now has a new challenge as co-head of equity capital markets for Europe, Africa and the Middle East at Merrill Lynch.
Matthias Mosler was born in Heidelberg in southern Germany in 1956. His father was a law professor and later a judge at the International Court of Justice. After leaving school, Matthias trained as a photographer before going to Heidelberg University to read law. He practised for a couple of years as an attorney in Munich then went to work in the legal department of the World Bank in Washington.
In 1985 he joined Deutsche Bank in Munich as an associate in the corporate flnance department, moving to Frankfurt after a year. After Herrhausen's death, Mosler spent a year or so winding down Herrhausen's office There was much to do: for one thing Herrhausen had 60 mandates worldwide.
In 1991 Mosler became Deutsche Bank's head of debt capital markets origination for Germany. But when Goldman approached him through a headhunter, he agreed to join its M&A division in New York.
In 1993 he moved to London to become Goldman's head of equity capital markets for German-speaking Europe, charged with building up the equity primary business. Over the next six years, he succeeded in taking Goldman from nowhere to the number one ranked equity house in Germany for 1999. During that time he managed more than 50 transactions, including both Deutsche Telekom privatizations (1996 and 1999) and IPOs for Agfa, Voegele and Jenoptik.
He says a major reason for Goldman's success was good ideas (the bank did the flrst two convertibles and an exchangeable for Daimler, among them the flrst mandatory convertible for Daimler - the flrst in Europe - in 1997). "The trick is to orchestrate sales trading, research, banking, the relationship side and equity capital markets," he says, "and I saw my role as making everybody go in the same direction. All these components have to be right, and client relationships are especially important if you are a non-local bank." Mosler refused to be based in Germany. "You need to think globally. Distribution is global for one thing. But clients also want a combination of local expertise with international investment banking, and I've always thought you could do that best out of London, sitting alongside your international colleagues."
At Merrill, he is excited by the prospect of "a much larger platform, especially in sales and research". The bank, he says, "is number three in Europe based on a relatively new effort, so they have a lot of momentum". The German market, he says, is now the single most important, and deals there will drive the league tables. One of his main challenges will be to push the technology side: at Goldman he did all the IPOs of German online brokers.






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