BEST BANK
Allied Irish Banks
BEST DEBT HOUSE
BNP Paribas
BEST EQUITY HOUSE
Davy Stockbrokers
BEST M&A HOUSE
Ernst & Young
After a year challenged by media attention, AIB is now back on track, with performance for 2004 returning to double digits. Its attempt to grow income faster than costs is paying off, with the former increasing by 11% and the latter just 7% over the last year. Its return on equity is now better than that of its closest competitor, Bank of Ireland, as are its profits at €1.4 billion for 2004. Loan growth in Ireland was 30%, outperforming the market, and deposits for the group as a whole were up 14%. In the capital markets, AIB is among the top three for market share in M&A, and is represented in equity markets through stockbroking subsidiary Goodbody. On the debt side, AIB has carved out a niche for itself internationally in structured and acquisition finance and is one of the leading CDO providers in Europe.
Ireland’s debt market is small, but Irish banks are growing fast and need capital and financing. Leading the pack in putting together such deals for the Irish financials is BNP Paribas. The bank dominates the league tables with almost three times the amount of bond issuance in terms of volume than number two bookrunner ABN Amro. BNP Paribas’ market share in Ireland for transactions is about 90%, and over the past 18 months it has been expanding its product range for Irish borrowers from senior debt to capital transactions. Away from financials, Barclays Capital deserves note for its $500 million five-year transaction for Ireland – the first public offering in dollars for the sovereign since 1994.
Although Bank of Ireland just missed out on the award for best bank, its subsidiary, Davy Stockbrokers, takes this year’s award for best equity house in Ireland. Davy is the largest broking firm in Dublin, accounting for 47% of the turnover on the Dublin Stock Exchange. Davy is also leading the pack in the relatively inactive primary market in Ireland, with a 24.86% market share. Its award-winning research team is also the largest in Dublin.
Irish M&A house of the year goes to Ernst & Young. It boasts the largest number of deals in the domestic market and benefits from its international network in putting together cross-border transactions. It advised Bank of Ireland on its acquisition of UK-based Burdale Finance, and was an adviser on two acquisitions for Irish foods producer IAWS Group.
