The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

Crown prince of the jungle

Wall Street is competing with an 800-pound gorilla. That's the label attached to Chase as it wrestles investment banking mandates from traditional players. Even by US standards Chase is noted for being aggressive. And its great strength is the lending capability that helps it win both bond and M&A deals. Will it eventually be king? By Michelle Celarier.

When Westinghouse Electric decided to sell its defence unit last year to pay off the $5.5 billion in debt its acquisition of CBS had required, it felt there was only one place to go: the new Chase Manhattan Bank. "We didn't want any uncertainty," says Fred Reynolds, Westinghouse's chief financial officer.

Westinghouse was looking for a cash deal, and wanted to make sure that the buyer would be able to come up with the money. Chase, with its expertise in lending to the defence industry, was well placed to review potential bidders. The bank recommended Northrop Grumman, even though its BBB rated balance sheet made Reynolds a bit nervous.

Take out a complimentary trial

Take out a 7 day trial to gain unlimited access to Euromoney.com and Asiamoney.com analysis and receive expertly-curated updates direct to your inbox.

 

Already a user?

Login now

 

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree