Mark Fedorcik, who runs debt capital markets, becomes head of the US corporate and investment bank, according to an internal memo. He replaces Paul Stefanick, who is elevated to global chairman of that business.
Stefanick, a veteran merger banker, joined Deutsche Bank in 2009 from Merrill Lynch and had been tapped to raise its M&A profile in the US. He will now focus on solidifying Deutsche’s relationship with top clients, according to the memo.
Fedorcik has overseen Deutsche’s debt capital markets business since last November, when Deutsche Bank last shook up its investment banking leadership. He formerly ran leveraged finance, helping companies with low credit ratings raise debt.
That’s a strength for Deutsche, which ranks third this year in high-yield bonds, and is traditionally top-three in risky bank debt known as leveraged loans. It recently led a junior bank loan for William Morris Endeavor’s $ 4.4 billion takeover of mixed-martial arts production company Ultimate Fighting Championship, and is helping finance takeovers of premium movie channel Starz and Rackspace Hosting.
Elevating Fedorcik, who started at Bankers Trust and joined Deutsche Bank in the 1999 merger of the two, puts a spotlight on one of the bank’s best businesses as it copes with a falling stock price, down 45% this year, and a long list of regulatory troubles.
A handful of senior bankers have departed. The co-heads of M&A in the Americas left earlier this summer, Anthony Whittemore for Barclays and Jim Ratigan for healthcare boutique Leerink Partners. Jacques Brand, chief executive of Deutsche’s North American operations, departed in May for boutique merger shop PJT Partners.
In the past year, Deutsche Bank has tried to build a cleaner investment bank, unveiling a series of moves meant to simplify reporting lines and better integrate its US and European operations.
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This article was published by The Wall Street Journal